Latest / Earn Your Leisure / Advance Placement: Apple Faces Longest Sales Drop In Decades As iPhone Sales Slump

Transcript

Advance Placement: Apple Faces Longest Sales Drop In Decades As iPhone Sales Slump · Earn Your Leisure

• 0:00
  Speaker 1: An illegal alien from Guatemala charged with raping a child
• 0:03
  Speaker 1: in Massachusetts. An MS thirteen gang member from Al Salvador
• 0:07
  Speaker 1: accused of murdering a Texas man of Venezuelan charged with
• 0:11
  Speaker 1: filming and selling child pornography in Michigan. These are just
• 0:15
  Speaker 1: some of the heinous migrant criminals caught because of President
• 0:19
  Speaker 1: Donald J. Trump's leadership. I'm Christy nom the United States
• 0:23
  Speaker 1: Secretary of Homeland Security. Under President Trump, attempted illegal border
• 0:28
  Speaker 1: crossings are at the lowest levels ever recorded, and over
• 0:31
  Speaker 1: one hundred thousand illegal aliens have been arrested. If you
• 0:35
  Speaker 1: are here illegally, your next you will be fined nearly
• 0:39
  Speaker 1: one thousand dollars a day, imprisoned, and deported. You will
• 0:43
  Speaker 1: never return. But if you register using our CBP home
• 0:46
  Speaker 1: app and leave now, you could be allowed to return legally.
• 0:50
  Speaker 1: Do what's right. Leave now. Under President Trump, America's laws,
• 0:55
  Speaker 1: border and families will be protected.
• 0:57
  Speaker 2: Sponsored by the United States Department of Homeland Security.
• 1:00
  Speaker 3: Posted this on Instagram a couple of days ago. The
• 1:02
  Speaker 3: Apple faces longest sales drop in decades as iPhone sales slump,
• 1:09
  Speaker 3: so Apple is confronting its largest sales decline in decades
• 1:14
  Speaker 3: attributed to the slump and iPhone sales. Various factors might
• 1:17
  Speaker 3: be contributing to this downturn, including market saturation, intensified competition
• 1:24
  Speaker 3: from other smartphone manufacturers, and ongoing global supply chain issues.
• 1:29
  Speaker 3: The iPhone has traditionally been significant source of revenue for Apple,
• 1:35
  Speaker 3: and this decline might prompt a reassessment of the strategy
• 1:39
  Speaker 3: or an exploration of new avenues for growth. The situation
• 1:44
  Speaker 3: presents a notable development in the tech industry and stakeholders
• 1:49
  Speaker 3: will be keen to observe how Apple navigates this challenging period.
• 1:54
  Speaker 3: So we've also saw Apples Dot the client last week. Right,
• 1:59
  Speaker 3: So you talk about Apple a lot as far as
• 2:03
  Speaker 3: there's two stocks that everybody should have in your opinion,
• 2:06
  Speaker 3: and those stocks are Apple and Microsoft. Right, Yes, but
• 2:11
  Speaker 3: this is saying that Apple is facing challenges with its
• 2:14
  Speaker 3: number one product, which is the iPhone, and we saw
• 2:18
  Speaker 3: a stock drop a little bit last week. iPhone sales
• 2:23
  Speaker 3: are slowing down. So should this be considered when people
• 2:30
  Speaker 3: are thinking about investing in Apple for the next ten years?
• 2:35
  Speaker 4: Hell yeah, Apple, I'm on y'all ass today. I'm usually
• 2:38
  Speaker 4: an Apple avenger and Apple advocate and I still am,
• 2:41
  Speaker 4: but I will say and I think we all can agree.
• 2:44
  Speaker 4: Apple needs extreme innovation and the iPhone I think one
• 2:47
  Speaker 4: of the main reasons why people are not I think
• 2:50
  Speaker 4: the iPhone fifteen comes out in September. Yep, I haven't
• 2:53
  Speaker 4: heard one person on Earth be like I can't wait
• 2:55
  Speaker 4: for the fifteen to drop. These like the Jordan twenty nine.
• 2:58
  Speaker 4: Everybody Jordan, Michael Jordan, Jordan Brand, Marcus Jordan, largely everybody.
• 3:02
  Speaker 5: But.
• 3:04
  Speaker 4: I don't think anyone is looking forward to it, and
• 3:07
  Speaker 4: even myself, Like when I lost my phone in the ocean,
• 3:10
  Speaker 4: I'm like, well, maybe I have to get a fourteen
• 3:11
  Speaker 4: regular or go get a Sam song for the first time,
• 3:14
  Speaker 4: I'm like, maybe I should go get a Sam song.
• 3:16
  Speaker 4: So I think they need some innovative features in their
• 3:18
  Speaker 4: I phone, at least fifteen features, because for the last
• 3:22
  Speaker 4: let's say what twelve years, Samsung because innovated and created
• 3:27
  Speaker 4: some amazing features and benefits for their phone, and Apple
• 3:31
  Speaker 4: will copy them four or five years later. Secondly, I
• 3:34
  Speaker 4: think they need another Johnny Ive. They need a person
• 3:37
  Speaker 4: that can create an amazing product that looks well, that's
• 3:41
  Speaker 4: super innovative. Third I think they need to make an
• 3:44
  Speaker 4: aggressive push into healthcare, either with a partnership with Eli
• 3:47
  Speaker 4: Lilly or acquiring a smaller player, because they need to
• 3:51
  Speaker 4: start the hedge just in case that they lose that
• 3:55
  Speaker 4: edge in the text space.
• 3:56
  Speaker 5: And I think because Tim is a great operator.
• 3:58
  Speaker 4: He's not an innovative per se, but he's innovative and
• 4:01
  Speaker 4: how he's done operations, I think Apple's got very comfortable.
• 4:05
  Speaker 4: I'm not gonna lie do I still think it's the
• 4:07
  Speaker 4: greatest publicly traded stock of all time. Yes, a lot
• 4:10
  Speaker 4: of the drop of last week was because of the
• 4:12
  Speaker 4: credit rating, and they were at the top. They hit
• 4:14
  Speaker 4: all time high and I think two or three weeks ago,
• 4:17
  Speaker 4: so they were bound to come down.
• 4:18
  Speaker 5: But Apple has for too long has been lagging in
• 4:24
  Speaker 5: their innovation, and they weren't.
• 4:28
  Speaker 4: You're not really looking like I think they should have
• 4:30
  Speaker 4: bought Dji a long time ago as well on the
• 4:32
  Speaker 4: camera side for everyone who's making content. But you need
• 4:36
  Speaker 4: more disruptive innovation there in their product line.
• 4:39
  Speaker 5: It's just not there.
• 4:40
  Speaker 4: Like I feel like the last five iPhones and iPads
• 4:43
  Speaker 4: have been generally the same. Services have done incredibly well.
• 4:47
  Speaker 4: But if the product isn't amazing, the services business is
• 4:51
  Speaker 4: going to fall apart for all of my entrepreneurs, Like,
• 4:54
  Speaker 4: if you have an amazing design, product innovation. I was
• 4:58
  Speaker 4: reading they could have bought mid Journey a couple of
• 5:00
  Speaker 4: years ago and the parameters didn't work out well. That
• 5:03
  Speaker 4: would have been a nice product for them to have
• 5:05
  Speaker 4: in their suite to put into the iPhone.
• 5:08
  Speaker 5: So put it there. But I just think they need some.
• 5:11
  Speaker 4: Drastic innovation, and they're not exposed too well to the
• 5:14
  Speaker 4: enterprise side. So if I'm looking at it from a
• 5:17
  Speaker 4: contrarian view of what they need to improve, those are
• 5:20
  Speaker 4: the four or five things that they need to fix
• 5:22
  Speaker 4: in order to be a better brand going forward to
• 5:24
  Speaker 4: make me hold on for the next ten years.
• 5:26
  Speaker 6: Yeah, I think you made a great point about they
• 5:28
  Speaker 6: got comfortable, because when they got comfortable, the customer got comfortable.
• 5:32
  Speaker 6: I know Lashati just mentioned a couple of things from competitors,
• 5:36
  Speaker 6: but across the board, smartphone sales are down. Yeah, so
• 5:40
  Speaker 6: I'm not sure if that's the biggest issue. We talk
• 5:42
  Speaker 6: about the supply chain. We watched TSM go down, we
• 5:47
  Speaker 6: saw AMD pull back a little bit, we saw a
• 5:49
  Speaker 6: Qualcom pulled back, and the reason was it wasn't because
• 5:51
  Speaker 6: of the supply the demand. It was that they had
• 5:54
  Speaker 6: too much, right, they had too much, and the demand
• 5:57
  Speaker 6: had slowed down. And so that comfortability is let people
• 6:00
  Speaker 6: to be as comfortable as well. The person that has
• 6:02
  Speaker 6: the iPhone thirteen is not complaining that they need the fourteen. Nope,
• 6:06
  Speaker 6: they're not gonna be complaining that they need the fifteen either, because,
• 6:09
  Speaker 6: like you said, there is no disruptive innovation. Even now,
• 6:12
  Speaker 6: when I looked at the preview for the new one,
• 6:13
  Speaker 6: it's like, all right, this is cool, but my fourteen
• 6:16
  Speaker 6: does just to say the same thing, right, And so
• 6:18
  Speaker 6: like that disruption is not there, which is which is
• 6:22
  Speaker 6: an issue. But we can't like take out the fact
• 6:24
  Speaker 6: that inflation has played a partner, right, because if I
• 6:29
  Speaker 6: have to decide between getting a need or paying fifteen
• 6:34
  Speaker 6: hundred dollars for a cell phone, you're gonna go with
• 6:37
  Speaker 6: the need first, right, It's not a discretionary spend anymore,
• 6:40
  Speaker 6: And so that that plays a part in it as well.
• 6:42
  Speaker 6: But like you said that there are some upsides, right
• 6:44
  Speaker 6: if we look at the company, Yeah, pulled back, but
• 6:46
  Speaker 6: it's still up forty percent for the year. Yeah, we
• 6:48
  Speaker 6: can't ignore that. You talked about the service side, that's
• 6:52
  Speaker 6: up twenty one billion. They make twenty one billion just
• 6:56
  Speaker 6: in services, and so that pays plays a part into it,
• 6:59
  Speaker 6: and then you know we're looking at expansion, and so
• 7:01
  Speaker 6: there was growth outside of.
• 7:04
  Speaker 7: This episode is brought to you by P and C Bank.
• 7:06
  Speaker 7: A lot of people think podcasts about work are boring,
• 7:09
  Speaker 7: and sure they definitely can be, but understanding of professionals
• 7:13
  Speaker 7: routine shows us how they achieve their success little by little,
• 7:17
  Speaker 7: day after day.
• 7:19
  Speaker 8: It's like banking with P and C Bank. It might
• 7:22
  Speaker 8: seem boring to.
• 7:22
  Speaker 7: Safe plan and make calculated decisions with your bank, but
• 7:26
  Speaker 7: keeping your money boring is what helps you live or
• 7:28
  Speaker 7: more happily fulfilled life. P and C Bank Brilliantly Boring
• 7:33
  Speaker 7: since eighteen sixty five. Brilliantly Boring since eighteen sixty five
• 7:37
  Speaker 7: is a service mark of the PNC Financial Service Group, Inc.
• 7:41
  Speaker 7: P and C Bank National Association Member FDIC.
• 7:47
  Speaker 8: Ernests What's up?
• 7:48
  Speaker 7: You ever walk into a small business and everything just
• 7:50
  Speaker 7: works like? The checkout is fast, the re seats are digital,
• 7:54
  Speaker 7: tipping is a breeze and you're out the door before
• 7:57
  Speaker 7: the line even builds.
• 7:58
  Speaker 8: Odds are they're using Square?
• 8:01
  Speaker 7: We love supporting businesses that run on Square because it
• 8:04
  Speaker 7: just feels seamless.
• 8:05
  Speaker 8: Whether it's a local coffee.
• 8:06
  Speaker 7: Shop, a vendor at a pop up market, or even
• 8:09
  Speaker 7: one of our merch partners, Square makes it easy for
• 8:12
  Speaker 7: them to take payments, manage inventory, and run their business
• 8:16
  Speaker 7: with confidence, all from one simple system. If you're a
• 8:19
  Speaker 7: business owner or even just thinking about launching something soon,
• 8:23
  Speaker 7: Square is hands down one of the best tools out
• 8:26
  Speaker 7: there to help you start, run and grow. It's not
• 8:29
  Speaker 7: just about payments, it's about giving you time back so
• 8:32
  Speaker 7: you can focus on what matters most Ready. To see
• 8:35
  Speaker 7: how Square can transform your business, visit Square dot com backslash,
• 8:39
  Speaker 7: go backslash eyl to learn more that Square dot com backslash,
• 8:45
  Speaker 7: go backslash eyl, don't wait, don't hesitate. Let's Square handle
• 8:49
  Speaker 7: the back end so you can keep pushing your vision forward.
• 8:54
  Speaker 1: An illegal alien from Guatemala charged with raping a child
• 8:58
  Speaker 1: in Massachusetts. Thirteen gang member from Al Salvador accused of
• 9:03
  Speaker 1: murdering a Texas. Man of Venezuelan charged with filming and
• 9:07
  Speaker 1: selling child pornography in Michigan. These are just some of
• 9:11
  Speaker 1: the heinous migrant criminals caught because of President Donald J.
• 9:14
  Speaker 1: Trump's leadership. I'm Christy Noman, the United States Secretary of
• 9:18
  Speaker 1: Homeland Security. Under President Trump, attempted illegal border crossings are
• 9:23
  Speaker 1: at the lowest levels ever recorded, and over one hundred
• 9:26
  Speaker 1: thousand illegal aliens have been arrested. If you are here illegally,
• 9:31
  Speaker 1: your next you will be fined nearly one thousand dollars
• 9:34
  Speaker 1: a day, imprisoned, and deported. You will never return. But
• 9:38
  Speaker 1: if you register using our CBP home app and leave now,
• 9:42
  Speaker 1: you could be allowed to return legally. Do what's right,
• 9:46
  Speaker 1: leave now. Under President Trump, America's laws border and families
• 9:51
  Speaker 1: will be protected.
• 9:52
  Speaker 2: Sponsored by the United States Department of Homeland Security.
• 9:54
  Speaker 6: Just the United States, the cell phone market has gone
• 9:58
  Speaker 6: down from them the United States, but as four pis
• 10:00
  Speaker 6: in China, it's gone up four percent. They've gone into India,
• 10:03
  Speaker 6: They've gone into Indonesia. So it's kind of what we've
• 10:06
  Speaker 6: been saying for the past month. It's like, yeah, they
• 10:07
  Speaker 6: haven't had the innovative product, and so the new product
• 10:09
  Speaker 6: is like, let's go take over more markets and it's
• 10:12
  Speaker 6: gonna It's just a slow process, but it seems the
• 10:15
  Speaker 6: thing until the division pro.
• 10:16
  Speaker 8: The other thing with division pro.
• 10:18
  Speaker 2: Is the price point perce point.
• 10:19
  Speaker 5: Yeah.
• 10:20
  Speaker 6: Right, So if you got a fifteen hundred dollars phone
• 10:22
  Speaker 6: and now you have a new innovative a piece of
• 10:25
  Speaker 6: equipment that's going to cost thirty five hundred. And when
• 10:29
  Speaker 6: we're talking about the times that we're in, especially with
• 10:33
  Speaker 6: quote unquote recessionary times, you have to take that into account.
• 10:36
  Speaker 6: How many people can now afford that and you will
• 10:38
  Speaker 6: have a population that will but how many people will
• 10:40
  Speaker 6: look at it as a product that they actually need
• 10:42
  Speaker 6: to have, so they you know, they got to take
• 10:45
  Speaker 6: these things into account.
• 10:47
  Speaker 8: When when you see Apple pull back.
• 10:48
  Speaker 4: Like that, yeah, I mean the last thing I'll say,
• 10:51
  Speaker 4: am I down on the company long term? No? No, Apple,
• 10:56
  Speaker 4: I mean it made thirty eight million dollars an hour
• 10:58
  Speaker 4: this quarter. Like so Apple is printing more money in
• 11:03
  Speaker 4: a month and some companies will do in six months.
• 11:05
  Speaker 5: So I still think it's incredibly in rare air.
• 11:09
  Speaker 4: But sales are down one point one point four year
• 11:13
  Speaker 4: over a year, and guided lower max are down seven
• 11:17
  Speaker 4: percent even with the MacBook and MacBook Pro MacBook are
• 11:20
  Speaker 4: I think some of the desire to why cell phones
• 11:23
  Speaker 4: are down it's going back to a utility type of
• 11:27
  Speaker 4: product where you felt before you were getting something new.
• 11:30
  Speaker 4: You can't, especially in recession, you can't resell the same
• 11:34
  Speaker 4: thing over and over again, like even for me. And
• 11:36
  Speaker 4: it's like two point five version of stock Club. Like
• 11:39
  Speaker 4: there's thirty four different things that I'm adding just because
• 11:42
  Speaker 4: people need more bang for their buck. And Apple is
• 11:45
  Speaker 4: like a luxury company. So when you have a luxury yes,
• 11:49
  Speaker 4: you can go take over more markets. But at some
• 11:51
  Speaker 4: point the product just needs.
• 11:53
  Speaker 5: To be better.
• 11:54
  Speaker 4: And we haven't had that innovation yet. And that's why
• 11:57
  Speaker 4: I said, I think you need a Johnny Ive. There
• 11:59
  Speaker 4: was a huge divide an Apple the corporation between if
• 12:03
  Speaker 4: it should be more efficient or if it should be
• 12:05
  Speaker 4: more creative, like Steve was the more creative person.
• 12:08
  Speaker 5: Tien was the more the operation.
• 12:10
  Speaker 4: You need both, Like even when you got to see
• 12:13
  Speaker 4: the rollouts for invest fast and market Mondays, and I
• 12:16
  Speaker 4: know Joe Budden always criticized my love wrestling intros.
• 12:19
  Speaker 5: You need both.
• 12:21
  Speaker 4: I got tired of going to conferences on a Sunday
• 12:23
  Speaker 4: and like, here's how to invest in the S and
• 12:25
  Speaker 4: P three. No, you need both. So they need more innovation.
• 12:29
  Speaker 4: The product needs needs to be better. I want to
• 12:31
  Speaker 4: be able to zoom into one hundred x and see
• 12:33
  Speaker 4: the moon like the Samsung can like we need.
• 12:36
  Speaker 5: To do more.
• 12:37
  Speaker 4: So this is my outcry to Apple and everyone on
• 12:42
  Speaker 4: their board. It's like, please find someone who can create
• 12:45
  Speaker 4: better products at a faster rate so that the sales
• 12:48
  Speaker 4: can improve and be stable as we're going to this time.
• 12:51
  Speaker 6: And the reason we talk about the iPhone sales right
• 12:53
  Speaker 6: specifically when we talk about Apples, because if you look
• 12:56
  Speaker 6: at the revenue model, it's fifty percent of the revenue
• 12:59
  Speaker 6: comes from the iPhone sales. But anytime there's a report
• 13:02
  Speaker 6: that they've been declining like they have for the past
• 13:04
  Speaker 6: three quarters, it's going to draw a lot of attention
• 13:06
  Speaker 6: because it's a lot of revenue from the wealthiest company
• 13:09
  Speaker 6: by market cap in the world.
• 13:12
  Speaker 2: So we got to pay attention to that.
• 13:13
  Speaker 6: Anything that starts to trend negative, like you said, it's
• 13:16
  Speaker 6: not beneficial, and so they got to figure out what
• 13:18
  Speaker 6: it's going to be.
• 13:19
  Speaker 8: And from what I've seen from the fifteen I don't know.
• 13:22
  Speaker 5: I think I think we I mean.
• 13:23
  Speaker 6: The fourth quarter is a strong quarter for them because
• 13:26
  Speaker 6: of the fact that they released it at the end
• 13:28
  Speaker 6: of September and now those sales, you know, go into
• 13:30
  Speaker 6: the next quarter.
• 13:31
  Speaker 5: So we'll see.
• 13:32
  Speaker 6: I mean, I'm sure people the brand loyalty will be strong.
• 13:35
  Speaker 6: Well to see how many people are interested in having
• 13:38
  Speaker 6: the newest product and the price point for it.
• 13:40
  Speaker 4: Yeah, everyone put in chat what three features would you
• 13:42
  Speaker 4: like to see put in an iPhone that would make
• 13:45
  Speaker 4: you want to buy it?
• 13:47
  Speaker 5: Yeah.
• 13:47
  Speaker 8: I think they said early next year.
• 13:49
  Speaker 6: You know, we saw Google have their their GBT product,
• 13:54
  Speaker 6: and we saw obviously Microsoft with their GBT product. I
• 13:56
  Speaker 6: think by the first quarter of next year. Yeah, that
• 13:59
  Speaker 6: might something that they're trying to have installed inside of
• 14:03
  Speaker 6: the newest phones, and so that might be something that's innovative.
• 14:07
  Speaker 6: We already know what you know, they had Siri, but
• 14:08
  Speaker 6: this is this is something a product that they admittedly
• 14:11
  Speaker 6: said that they've been working on for the past five
• 14:13
  Speaker 6: to eight years. Yeah, and so you know, it's not
• 14:17
  Speaker 6: like they're behind the ball. They're just waiting for the
• 14:19
  Speaker 6: opportunite time to put it out. So we'll see. Maybe
• 14:21
  Speaker 6: that's something that sparks.
• 14:22
  Speaker 4: Askual you guys, is from a brand perspective, how long
• 14:24
  Speaker 4: do you think you can get away by being a
• 14:26
  Speaker 4: brand that drops features after your competition. It's worked thus far.
• 14:32
  Speaker 4: I'm not worried about if it's worked thus far. I'm
• 14:34
  Speaker 4: worried about if it can work for the next ten years. Yes,
• 14:38
  Speaker 4: and most we've seen legacy companies ib him PayPal, like
• 14:44
  Speaker 4: some huge corporations that were dominant in the previous decade
• 14:48
  Speaker 4: the next decade not be able to keep up.
• 14:50
  Speaker 5: And then here comes Eli.
• 14:51
  Speaker 4: Regardless of the lack of efficiency I think he may have,
• 14:55
  Speaker 4: you can't argue about him trying to innovate. Yes, he's
• 14:57
  Speaker 4: missed up which rebranding Twitter and the acts, and he's
• 15:00
  Speaker 4: trying though he's not resting on his laurels though, like
• 15:04
  Speaker 4: the team with the executives at PayPal. So my fear
• 15:08
  Speaker 4: is like can they keep this lead? And we'll talking
• 15:11
  Speaker 4: about Amazon later, because like Amazon in a few years
• 15:14
  Speaker 4: has a chance to be the highest grossing revenue company
• 15:17
  Speaker 4: of all time.
• 15:18
  Speaker 5: You can't lose that lead.
• 15:20
  Speaker 4: And like I said, if Bezos get off that yacht
• 15:22
  Speaker 4: with that latinga and his wife, hey and come back
• 15:25
  Speaker 4: and run shot because in a recession Amazon, because you're
• 15:28
  Speaker 4: not just competing against those in your class, you're competing
• 15:32
  Speaker 4: against every brand in the world. Amazon is a formidable
• 15:36
  Speaker 4: opponent for Apple as an investor. If they get a
• 15:39
  Speaker 4: celebrity CEO that is trusted and that pipeline continues to
• 15:44
  Speaker 4: be full. AWS continues to be a monster if they
• 15:48
  Speaker 4: lose that number two slot, and then we have Microsoft
• 15:50
  Speaker 4: right on their tail.
• 15:53
  Speaker 5: So all right well.
• 15:57
  Speaker 1: An illegal alien from Guatemala charged with raping a child
• 16:01
  Speaker 1: in Massachusetts. An MS thirteen gang member from Al Salvador
• 16:05
  Speaker 1: accused of murdering a Texas man of Venezuelan charged with
• 16:09
  Speaker 1: filming and selling child pornography in Michigan. These are just
• 16:13
  Speaker 1: some of the heinous migrant criminals caught because of President
• 16:17
  Speaker 1: Donald J. Trump's leadership. I'm Christy nom the United States
• 16:20
  Speaker 1: Secretary of Homeland Security. Under President Trump, attempted illegal border
• 16:25
  Speaker 1: crossings are at the lowest levels ever recorded, and over
• 16:29
  Speaker 1: one hundred thousand illegal aliens have been arrested. If you
• 16:32
  Speaker 1: are here illegally, your next you will be fine nearly
• 16:36
  Speaker 1: one thousand dollars a day, imprisoned and deported. You will
• 16:40
  Speaker 1: never return. But if you register using our CBP home
• 16:44
  Speaker 1: app and leave now, you could be allowed to return legally.
• 16:47
  Speaker 1: Do what's right. Leave now. Under President Trump, America's laws,
• 16:52
  Speaker 1: border and families will be protected.
• 16:55
  Speaker 2: Sponsored by the United States Department of Homeland security,