Tim Cook: High-End Smartphone Market Hasn't Reached Its Peak

This week during the Apple earnings call that also saw Apple report a record quarter for iPhone sales, CEO Tim Cook suggested that the higher end of the smartphone market has not reached it's peak. This was in response to a question about the iPhone and how possible it was that the "high end" was "reaching saturation". This was in spite of, as the user asking the question made clear, the increase in iPhone sales this quarter.

It's not as if the iPhone is hurting for sales – even with the iPhone 5 being the newest model on the market and rumors of a next-generation device already saturating the airwaves. Instead, Apple's attitude during the Q and A section of the earnings call this week remained wholly positive.

"From a growth point of view for Apple, our key catalyst will always be new products and new services. In addition we have opportunities in distribution, carrier partnerships, the online store, and the indirect channel." – Tim Cook

Cook added that he saw the iPhone's market as healthy – not a place where too many devices on the market means no one will want a new machine.

"I don't subscribe to the common view that the higher end of the smartphone market has hit its peak." – Tim Cook

Does this mean no iPhone budget model? While no one asked such a question directly, Tim Cook's representation of Apple as a company whose one goal is to make great products remained solid.

"We think if we focus on great products and do it well, the financial performance will also come. We don't see those things as being mutually exclusive.

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The most important thing is that the customers love the products – if you don't start at that level, you end up creating things that people don't want." – Tim Cook

What do you think? Do you think it's time the smartphone market started seeing innovation in ways we've not yet thought of? Consider the Nokia Lumia 1020 and it's massive 41-megapixel camera setup. Is that enough?

Or does Apple – in this case – need to create a smartphone that's got something we've not even considered?

SOURCE: Apple