27/01/2016 World Business Report

Those are the latest headlines from BBC News.

Now for the latest financial news with Sally

Sweet and sour, it's another record breaking quarter for Apple,

but sales growth of the iPhone slows for the very first time.

I'm Sally Bundock. India over its proposals to offer

Also in the programme shares in Shanghai continue to sink

Rico will tell you all you need to know.

The US technology giant Apple has reported the biggest ever quarterly

profit for a public company at $18.4 billion.

But while it exceeded expectations both for revenue and profit, the

number that everyone was looking for, sales of iPhones, disappointed.

For the first time growth in iPhone sales is slowing,

The company's reported sales of 74.8 million iPhones for the quarter,

That's a big slowdown, compared to Q1 last year where sales

And investor anxiety over a slowdown in sales is echoed here

in the company's share price, you can see six months ago it hit

a high, just above $132, now it's below the $100 mark.

Apple's sales in Greater China, defined by the company as China,

Hong Kong and Taiwan, rose 14%, but that was much slower than

With me is Tim Coulling, Technology analyst at Canalys.

We have sort of talked about the bare bones of the news but also

interestingly, Tim Cook, the boss of Apple, he sounded quite pessimistic

on the conference call? He said the next quarter would be even worse.

Certainly. Apple does face significant headwinds in terms of

global currency. As you are well aware, the dollar is trading very

high at the moment against other currencies, making Apple products

expensive in other countries. And also making it difficult when

reporting financial performance. Tim Cook spent a lot of time yesterday

talking about constant currency, and said revenues would be a lot better

had the dollar not had such a strong performance. How concerning are the

figures coming out of China? Because I must admit, when I heard the

numbers, I did instantly think, well, the previous numbers were

owing to be extremely high because they had just done a deal with China

mobile and it was bound to drop off quite a bit. Is that not the case?

If you look at Apple's iPhone shipments globally, we have around

50% of shipments going into the US and China combined. IPhone

performance is very heavily reliant on the performance of those two

countries. Certainly we have seen some worrying signs for the Chinese

economy in recent weeks and months. There is certainly a bit of a

downturn in consumer confidence, one might say. People are not looking to

spend money is readily. With that in mind, any slowdown in the Chinese

economy, any confidence in the Chinese consumers does affect iPhone

shipments pretty heavily. IPhone sales grew 76% in India at the same

time which sounds pretty impressive. Tim Cook says they will continue to

invest in India. Is that not a bright spot for the company? 76%

does sound impressive, however Apple's shipments to the country are

fairly low. It accounts for about 8% of global smartphone shares, it is

still a developing country in terms of smartphone volume. And Apple is

only about 1% in the last quarter of the Indian market. Yes there is

potential, but Apple announced yesterday that the average selling

price of an iPhone is around $690, Sophie look at that in terms of the

affordability for Indian consumers, it has a long way to go -- so if

you. They need to make it more affordable so that it can take off

in some of the markets Tim Cook mentioned yesterday like Brazil and

India, and also get that engine going again in developed countries

like the US and the UK and some of the larger Western European

markets. A lot of work to do. We will keep an eye on how Apple shares

trade later on when Wall Street starts its day. In after-hours

trade, the shares went down. This is our website which has loads of

information about Apple. You can also follow our correspondence on

Twitter and they will provide much more analysis.

Staying with the tech sector, Facebook will also be reporting

One of the key projects for the company's boss Mark Zuckerberg

is to provide free internet access to billions of people who haven't

The programme is called Free Basics and has already been launched

in about three dozen countries around the world and giving access

to some parts of the internet at no charge to the user.

It's billed as a way of helping poorer people get online

But critics say it goes against the principal of net

neutrality and India's telecom regulator has stopped it for now.

Offering something for free doesn't usually bring people out on the

streets in opposition. That that is exactly what happened in Hyderabad

last month and in these protesters cites, social media giant Facebook

and its controversial scheme. Launched your last year, this game

gives free access to parts of the Internet including some job sites,

government services and of course, Facebook. Local telecom firms pick

up the bill. It is being sold as a way of getting more people online

but critics believe it threatens Internet freedom and the principle

of net neutrality. We want everyone in India to get access to the

Internet but it needs to be access to the entire Internet. Quantity of

access is important but so is quality. Every single Indian citizen

must get access to all of the Internet all of the time. That is

essentially what we're fighting for. India's telecom regulator seems

to share those concerns. It has now suspended the plan while it finishes

a consultation into so-called differential pricing which the

service depends on. There is no denying Facebook founder Mark

Zuckerberg has been trying hard to win India over. And in a blog post,

he said he found opposition to the initiative surprising. He claims

India needs to connect 1 billion people to the Internet to make

progress and reduce poverty. And he insisted it wasn't about Facebook's

commercial interests but giving people opportunities. This is the

first time free basics has faced serious opposition in a country

where it has tried to launch. It is still a few months until India's

telecom regulator gives a decision but until then, expect more charm

offensives from Facebook as it faces its biggest battle yet in this

booming Internet market. We will have more to say about that later

on. It's been another wild ride on

China's stock markets today, hitting fresh one-year lows and now there

are signs the recent market rout is triggering margin calls and forced

liquidation, threatening yet another Rico Hizon is in our

Asia Business Hub in Singapore. Hang on to your seats because we are

seeing another fall in the mainland stock markets. Another 3% retreat in

Shanghai Stocks today, would experience the 6% dive on Tuesday

also. That is a drop of more than 9% in two trading sessions. The bad

news continues. More poor economic reports pressuring markets and

investor sentiment. China's loss is leading to worries of a further

slowdown in the Chinese economy. The stock markets in China have slumped

by around 24% so far this year and that takes away nearly $1.8 trillion

of the value of the mainland indices. Apart from the economic

data, not helping sentiment, the head of the statistics bureau is

under investigation for alleged corruption. No other information was

given. He basically oversees data releases on GDP, consumer prices and

other economic indicators. Really very important numbers and the

veracity of China's economic data has been increasingly questioned

over the past years as the slow pace of the country's expansion has

impacted global growth and continue to unnerve financial markets. It

continues to fall. Thank you. Let's look at the market very quickly. The

situation in China is not affecting Japan or Hong Kong. They are overall

much higher following a better session on Wall Street. The price of

Brent crude is down a little bit. Here's how Wall Street fared. The

Federal Reserve meeting on student today and there will be a statement

-- comes to an end today. I will see you soon.

Almost all health professionals questioned in a survey for the NSPCC

believe that there are not enough mental health services for children