The continuing decline in oil prices and the subsequent fall in the value of the Russian ruble, led Apple Computer to suspend online sales to Russia. Although Apple does not maintain a physical retail store in Russia, it does operate online stores. As a result of the severe declines in the Russian currency and eroding confidence, Apple acted to temporarily suspend all sales there.
Before taking the current action, Apple had raised the price of the iPhone 6 by 25 percent to Russia alone. As a result of the falling ruble, the relative cost of the iPhone 6, in Russia, was cheaper than anywhere else. Apple didn’t comment on when or whether they would resume sales accepting rubles.
Apple earned over $8.5 billion in net profit in the 4th quarter of 2014, not by making poor business decisions. The quarterly earnings report indicated that the September 2014, 4th quarter was, “one for the record books,” according to Apple CEO, Tim Cook. He was referring to the tremendously successful premier of their new line of, iPhone 6 and iPhone 6 Plus, phones.
The stock price of Apple has consistently gone up and up, most recently selling for $112.34 per share. The recent 7:1 stock split, in June, made the per share price more accessible to smaller investors, moving from $633.96 to $92.93 per share price.
The determination in the iTunes class action case, found Apple not guilty of antitrust violations when they restricted iPod consumers from purchasing music from other websites. The plaintiffs were seeking $1 billion and indicated they would appeal the decision.
Apple claimed that loading music on their device from other sources could compromise the quality of iPod security. The iPods were purchased from 2005 through 2009. The case dragged on for 10 years, though the trial lasted only 1-week.
Apple is well positioned entering the new year, 2015.