File photo/NBD

In a strategic move to boost sales during China's "618 Shopping Festival," Apple has joined the price war, achieving over 1.5 billion yuan in sales within the first hour of the event. This marks a significant milestone as Apple offers the largest discount in its history for the iPhone 15 series, with savings exceeding 2,000 yuan.

the 618 festival kicked off at 8 PM on May 20. The iPhone 15 series, which is at the forefront of Apple's promotional campaign, has seen its prices slashed. The iPhone 15 is now available starting at 4,599 yuan after discounts, while the iPhone 15 Pro Max offers the highest discount of 2,050 yuan, with a new starting price of 7,949 yuan.

This aggressive pricing strategy is a departure from Apple's usual approach in the Chinese market, where it has never before offered such substantial official discounts. In January, the company initiated a price reduction policy that allowed consumers to save up to 800 yuan on designated products when using eligible payment methods. However, the iPhone 15 series saw a maximum discount of only 500 yuan during that promotion.

The decision to offer these discounts comes in the wake of Apple's latest quarterly financial report, which revealed a 4% drop in revenue to 90.753 billion USD in the first quarter of this year. The Greater China region, being Apple's third-largest market, saw an 8% decrease in revenue to 16.372 billion USD.

Despite the challenges, Apple's participation in the 618 festival and the significant price cuts on the iPhone 15 series are expected to invigorate the brand's market presence and sales performance in China. 

As the competition in the smartphone market intensifies, with brands like Huawei experiencing a 69.7% year-over-year growth in the first quarter of 2024, Apple's move to offer unprecedented discounts during the 618 festival is a strategic response to maintain its market share and appeal to price-sensitive consumers.