Apple might stop the production of its Wi-Fi routers or Time Capsules

"Rumors suggest that Apple is to stop manufacturing its Wi-Fi routers and Time Capsules to focus on consumer products that generate more income. The models have not been updated since 2013 after they were frequently updated to keep with improved standard over the past years. Now, it has come to light that the team responsible for these Apple’s routers has been disbanded and the members spread over other groups, including Apple TV. This shows that Apple might not have new versions anymore and is stopping manufacturing routers.

Apple’s routers include AirPort Express, AirPort Extreme, and AirPort Time capsule. The Time capsule also serves as a backup storage hard drive for Mac computers. These routers cost $99, $199, and $299, respectively, and do not form a large part of Apple’s income. They are part of Apple’s ‘other products’ category, which also includes Apple TV and Apple Watch and generate only about 5% of the company’s revenue. Apple’s routers do not sell much because of the fact that most of their features are only compatible with Apple products only and the cost too much. So, in many ways the decision to stop manufacturing routers is a wise one.

An important element

Coupled with this, companies like Google, d-Link Corp and Netgear.Inc provide better and cheaper routers with improved home coverage. This mostly reduces Apple’s sales. Moreover, Apple’s decision might also prove fruitful for these companies.

The development of routers may also be hindered by the fact that a router manufacturer has little or no control over improved models. They can provide a better design or newer software for routers but unless companies making fundamental components release a new model a manufacturer can make no significant change. This is also a drawback in manufacturing and selling routers.

After abandoning this project Apple is to focus more on products that will generate more revenue for the company and prove to be profitable. So, it is quite a wise decision for Apple to move its workforce and it energies towards products that are truly beneficial for the company. "