Chinese-Dragon
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https://www.wsj.com/articles/apple-...uction-in-the-face-of-weak-demand-1517312098#
Apple Inc. is slashing planned production of the iPhone X for the three-month period ending March 31, people familiar with the matter say, in a sign of weaker-than-expected demand for the pricey handset.
Apple plans to make about 20 million iPhone X handsets in the first quarter, down from roughly 40 million initially planned, according to one person with knowledge of Apple’s production goals. Other people familiar with the iPhone supply chain said Apple had cut orders for components used in the iPhone X by 60%.
“They always do this when things aren’t selling well. It’s a real headache,” one of the people said.
Apple declined to comment. The company will offer its first report on iPhone X sales when it reports earnings Thursday for the three months ended December. Analysts expect the company to report total iPhone shipments—including sales of iPhone 6, 7 and 8 series models—increased 1.5% during the period.
Launched on the 10th anniversary of Apple’s game-changing iPhone, the iPhone X was promoted as the smartphone of the future, with features including a sharp, organic light-emitting diode display and facial-recognition technology. Apple set the price at $1,000—despite a plethora of lower-priced rivals—in hopes of boosting revenue.
But troubles incorporating the new technology led to delays in the manufacturing process, and forced Apple to abandon the use of fingerprints as an option to unlock the phones.
Those early delays were exacerbated by a shortage of certain components used in the facial-recognition system. Sales of the iPhone X were pushed back until Nov. 3, shortening the critical retailing window ahead of the holiday shopping season.
Then there is the $1,000 base price—many consumers don’t believe the features justify spending that much money, some analysts say.
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So Apple is cutting production by HALF, due to much weaker demand than anticipated.
Over a thousand USD for a smartphone that doesn't even have basic features like a fingerprint scanner or a headphone jack, both of which are present even on bargain basement budget phones. Not to mention that horrific "notch" on the top of the screen which blocks a large portion of the upper screen for no reason.
Does anyone here own one? I don't, my current phone is from OnePlus.
Apple Inc. is slashing planned production of the iPhone X for the three-month period ending March 31, people familiar with the matter say, in a sign of weaker-than-expected demand for the pricey handset.
Apple plans to make about 20 million iPhone X handsets in the first quarter, down from roughly 40 million initially planned, according to one person with knowledge of Apple’s production goals. Other people familiar with the iPhone supply chain said Apple had cut orders for components used in the iPhone X by 60%.
“They always do this when things aren’t selling well. It’s a real headache,” one of the people said.
Apple declined to comment. The company will offer its first report on iPhone X sales when it reports earnings Thursday for the three months ended December. Analysts expect the company to report total iPhone shipments—including sales of iPhone 6, 7 and 8 series models—increased 1.5% during the period.
Launched on the 10th anniversary of Apple’s game-changing iPhone, the iPhone X was promoted as the smartphone of the future, with features including a sharp, organic light-emitting diode display and facial-recognition technology. Apple set the price at $1,000—despite a plethora of lower-priced rivals—in hopes of boosting revenue.
But troubles incorporating the new technology led to delays in the manufacturing process, and forced Apple to abandon the use of fingerprints as an option to unlock the phones.
Those early delays were exacerbated by a shortage of certain components used in the facial-recognition system. Sales of the iPhone X were pushed back until Nov. 3, shortening the critical retailing window ahead of the holiday shopping season.
Then there is the $1,000 base price—many consumers don’t believe the features justify spending that much money, some analysts say.
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So Apple is cutting production by HALF, due to much weaker demand than anticipated.
Over a thousand USD for a smartphone that doesn't even have basic features like a fingerprint scanner or a headphone jack, both of which are present even on bargain basement budget phones. Not to mention that horrific "notch" on the top of the screen which blocks a large portion of the upper screen for no reason.
Does anyone here own one? I don't, my current phone is from OnePlus.
