'Meta wants a big bite of Apple,' Needham says

Apple

01/10/2026 12:51

** Needham maintains a "hold" stance on Apple AAPL.O, cites investor concerns about Apple's AI strategy, margin pressure, rising prices and China exposure
** However, brokerage says the biggest risk for Apple shareholders is that Meta META.O or another AI-first rival reduces reliance on the iPhone and weakens Apple's ecosystem
** Shares of the iPhone maker marginally down, while META marginally up premarket
** Apple may need to lower App Store fees to stay competitive with Meta's lower-cost offering, adds Needham
** Up to last day's close, the stock of AAPL had risen about 22% and META up ~10% YTD 

 (Reporting by Akriti Shah in Bengaluru)
 ((akriti.shah@thomsonreuters.com ; X, formerly Twitter: @AkritiShahh))