There is almost no competition in the smartphone market in the US. For most Americans, either Apple or nothing. It doesn't matter the price or what Apple puts on the market, as long as it has the half Apple logo, it's okay. There is a strong monopoly in the US smartphone market, and this is more noticeable among teenage buyers. A recent survey shows that 87% of teenagers in the United States are iPhone users . This is much higher than the second-placed Samsung. The distance between Apple and other players in the US smartphone market is huge. So why is Apple's iPhone so recognizable to American teenagers? After all, the price of iPhones in the US is not cheap.
Analysis of the situation shows that there are two main reasons for this level of recognition of Apple products, especially the iPhone, in the US.
First, Apple has a teenage psychology. This means that the company "colonized" American teenagers. Apple has managed to position itself as a great product company. Many Americans, especially teenagers, see the iPhone as a symbol of wealth and fashion.
Secondly, Apple's iPhone also has an advantage, meaning it has been known for decades. Its products such as iPhone, Macbook, iPad, etc. appear in American TV series and movies. It also has a huge impact on teenagers, although many people don't realize it.
Overall, Apple's iPhones are decent products, but Apple's marketing is definitely the more successful factor. This subtly influences the choice of many people, even if it is expensive, teenagers cannot resist.
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Illinois law could force Apple to eliminate in-app purchase tax
The US state of Illinois recently filed a lawsuit to force Apple to allow local developers to use an alternative payment method for App Store and in-app purchases. According to senators backing the project, Apple's commission represents a deficit for the local community as their turnover is cut by 30% (cutting the taxes they pay). Senators also believe that the money taken by the company weakens certain industries; in particular the press, which has suffered significantly since audiences have gone digital.
This project arose from a legal dispute between Apple and Basecamp; Illinois developer who created the professional email app Hey. This was rejected by the App Store because it didn't want to pay the subscription tax for its service.
Senator Sarah Feigengoltz (D-Chicago) wants tax revenue to go back to Illinois. “As we try to modernize our revenue base, we, as a state, must use the lost revenues,” Feigenholtz said. "We have to keep big technology under control." In 2021, Apple and Google reported $110 billion in revenue for their app stores. If you consider that Illinois provides 1% of app sales nationwide, Illinois has lost $1 billion in tax revenue, Feigengoltz said.
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