In retrospect, says analyst Katy Huberty, June’s sharp slowdown was a blip, not a trend.
Last month, Huberty drew our attention to a sharp drop in Chinese App Store revenue growth at the end of the June quarter—from May’s plus 18.9% to June’s 4.7%.—a drop she attributed to trade war tensions.
Now she’s changed her tune.
In a note to clients that landed on my desktop Wednesday, Huberty published the chart below showing a 15% pop in App Store growth. The real reason for June’s slowdown, she now says, was “tougher year-over-year comparisons and fewer game license approvals.”
Cue the chart:
My take: According to Huberty, June’s China numbers pulled worldwide App Store revenue growth down 4 points, from 18.2% year over year to 14.2%. She’s getting her data from SensorTower. Garbage in garbage out? No offense.
How is the June slowdown not related to the Yuan ? It was 6.4 a year ago June vs 6.9 June this year. That’s a double-digit move. For the July compare, the Yuan is just slightly weaker this year. Won’t be the case this month.
That’s the single biggest problem with most analysis. Context is never complete.