Asymco Bulletin 003 - Mar 8, 2026
by Horace Dediu
Asymco Bulletin is a digest of all the work we have published for the week ending Mar 8, 2026.
Editor's Note
It's been about a month since we launched Asymco One, and we are elated with the response from the community. Most recently, we held our first Office Hour, where we discussed the impact of Apple's latest products and answered questions in front of a live, Asymco One subscribers. We'd like to thank you for your support.
We continue to make improvements in how we create and deliver our content. Please bear with us while we renovate our infrastructure. Should you have any issues or have questions, please reach us at contact@asymco.com.
Finally, if you are on the fence about committing to Asymco One for a whole year, we've introduced the Asymco One monthly subscription. Try it today!
Research
Apple Services in Europe: Scale and Growth
Since October 2023, Apple has been transparently reporting App Store user metrics across 27 EU nations, updating these figures biannually. This initiative spans a population over 450 million, offering a granular yet rounded down to the nearest million, potentially skewing figures slightly downward. To mitigate this undercounting bias, adjustments are factored into trend analyses.
Through three sampling intervals from 2023 through July 2024, a market landscape emerges. The aggregated data hints at subtle shifts and growth patterns. →
Stairway Update
The iPhone 17e emerges as an incremental refinement—"the new low end, same as the old low end, but better." Apple has streamlined its lineup by axing the mid-memory "e" model, leaving us with two price points. This simplification might appear reductive, yet it strategically consolidates offerings while enhancing value. Notably, the base model's memory has doubled, a move that defies the prevailing DRAM scarcity narrative, suggesting Apple's adept supply chain management and perhaps a bit of market leverage.
By trimming excess and boosting core features, the 17e exemplifies a nuanced approach to product evolution. →
Nota Bene
Apple introduces iPhone 17e → Apple's iPhone 17e offers double storage at the same $599 price, boosting profit margins. →
Apple introduces the new iPad Air, powered by M4 → Apple's new iPad Air with M4 chip and increased memory boosts performance, enhancing versatility. →
Apple announces new MacBook Air with M5 and MacBook Pro with M5 Pro and M5 Max → Apple's latest MacBook lineup offers the affordable, efficient M5-powered Air, the mid-range balanced performer, and the high-end, powerhouse M5 Pro and Max models for demanding professionals. →
Apple unveils new Studio Display and all-new Studio Display XDR → Apple's Studio Display XDR boasts a 27-inch 5K Retina screen with mini-LED, 2000 nits brightness, and 120Hz refresh, ideal for professionals. →
Say hello to MacBook Neo → Apple launched the MacBook Neo, a budget-friendly laptop with premium features, priced at $599, amid concerns over shrinking margins in the Windows laptop market. →
Apple’s strategy is actually genius if you think about it → "Apple's strategic pivot to on-device AI could dismantle the AI boom by making models redundant and controlling the distribution gateway." →
Office Hours
Apple Q&A: Horace Dediu & Ben Bajarin discuss implications of Apple’s March 4, 2026 rollout →
We convened our first Office Hours on March 4 to review Apple's latest releases, where we answered questions from a live audience of subscribers, and dissected Apple's latest and strategies. Topics covered:
- MacBook Neo's Market
- iPhone Pricing tiers
- Apple's Margin Strategy
- Siri and Apple's AI Strategy
- Spatial Computing: Ergonomics, AI
- Apple's AI and Spatial Computing
- Cellular Modems and Laptops
- Premium vs. "cheap"
- Changes to Smartphone Market Dynamics
- Product Cannibalization
Full recording and transcript is available to Asymco One subscribers.
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