Apple Contemplating Paid Search for App Store, New iPhone Production Cuts

Today's Above Avalon stories: 

  • Apple Contemplating Paid Search for App Store
  • New iPhone Production Cuts

We kick off today's email by discussing Bloomberg's report that Apple is thinking about bringing paid search to the Apple Store. We go over paid search in context of mobile apps and app install ads. We need to go back to last year's WWDC to get the much needed perspective on what I suspect is Apple's grand vision concerning search and the App Store. There are better alternatives than just simply placing sponsored apps throughout the App Store. We then turn to news from the Nikkei saying Apple has cut iPhone production for FY3Q16. I have a number of questions regarding the primary implication found in the report. 

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