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MoneyApple is reportedly cutting iPhone production by 10 percent

10:45  09 january  2019
10:45  09 january  2019 Source:   engadget.com

Citi cuts first-quarter iPhone production estimates on weak demand

Citi cuts first-quarter iPhone production estimates on weak demand Citi cuts first-quarter iPhone production estimates on weak demand

This could be the result of Apple ’s changing iPhone strategy, which has focused more recently on Last quarter, the company saw a 29 percent revenue increase in its smartphone division with a 0 There’s a good chance that we’ll see a similar pattern with the iPhone XS and iPhone XR models

Apple will be decreasing the production of the iPhone by 10 percent in the first quarter of 2017, according to a new report. A year ago, Nikkei reported that Apple had chosen to cut production of the iPhone 6S and 6S Plus by 30 percent. Declines in production could mean sales of the phones

Apple is reportedly cutting iPhone production by 10 percent

Apple lowering its earnings guidance by a whopping $5 billion is probably a big enough indicator that the tech giant is feeling the effects of struggling smartphone sales and the US-China trade war. A new Nikkei report makes it even clearer that the tech giant isn't immune to market saturation, though: According to the publication, Cupertino has asked its suppliers to manufacture fewer iPhones than planned for January to March. Apple is reportedly cutting the overall production target of both old and new iPhones, including the XS Max, XS and XR, by around 10 percent.

According to one of Nikkei's sources, "the level of revision is different for each supplier and depends on the product mix they supply." In addition, the tech giant apparently told suppliers to lower its manufacturing target even before it adjusted its earnings guidance.

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Could Apple ’s decision to release the iPhone 7 that’s so similar to the iPhone 6 and 6s be a mistake? Some have certainly suggested that it was, although So much so that if the report is accurate, Apple is looking to cut back production by as much as 10 %. Now 10 % might seem like a lot, but given the

While Apple is reportedly cutting production , the report noted that , in Japan, demand for the iPhone 7 and the iPhone 7 Plus remains strong, largely Still, while that ’s good news, Japan only accounts for 10 percent of all of Apple ’s global sales and isn’t going to be enough to make up for sluggish

Nikkei says that instead of going forward with its planned production of 43 million units, the company is reducing its target number for the quarter to 40 million iPhones. Those numbers are significantly lower than the 47 to 48 million units Apple originally wanted to manufacture for the first three months of 2019. Cupertino probably decided on that initial goal based on previous sales, seeing as it sold 52.21 million units within the same period last year.

In November 2018, Nikkei also reported that Apple canceled a planned production increase for the iPhone XR. When asked about reports that Apple's affordable smartphone is a flop in a recent interview, though, Tim Cook said those reports aren't true and that the XR "has been the most popular iPhone every single day" since it launched.

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Apple has reportedly informed suppliers that it will reduce by 50% its iPhone X production target for the first quarter of 2018. The cut was prompted by slower-than-expected sales in the holiday shopping season in Europe, the United States and China, Nikkei reported.

Apple has informed suppliers that it is cutting production targets for its flagship smartphone in half, according to the Japanese news service Nikkei. Rather than keep the iPhone X as a cheaper option for customers — the same way they still sell the iPhone 7 and 6s — Apple will reportedly put the X

Apple reportedly replaced 10 times as many batteries as expected in 2018.
11 million customers that didn’t need to buy a new iPhone

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