Thursday, 15 November, 2018

IPhone XR isn't selling as well as Apple anticipated, production reportedly cut

Report: Apple cancels iPhone XR production boost The iPhone XR is reportedly not selling as well as Apple and analysts predicted
Troy Mann | 06 November, 2018, 17:35

A demonstration of the newly released Apple iPhone XR is seen following the product launch event at the Steve Jobs Theater in Cupertino, California, US September 12, 2018. This has led the company to cancel a so called "production boost" for the model. It's possible iPhone XR demand isn't meeting Apple's expectations, but exactly the reason that's happening is hard to determine.

Foxcomm originally planned to use 60 production lines for the handset but will only use 45 now.

All in all, if Apple really is opting to not enable extra production lines for the iPhone XR it means around 100,000 fewer iPhone XR models will be produced every day during the next few months.

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It's too early to tell if the iPhone XR will have a similar fate as the iPhone 5C. They are "suspending plans to ramp up production and awaiting further instructions from Apple".

The iPhone XR also managed to get glowing reviews, both from the critics and users, but it is still one of the pricier models, which may be affecting the smartphone demand. And if you liked smaller devices, the iPhone XR is actually the second-worst Apple phone to replace your old phone with - the iPhone XS is narrower, at 2.8 inches versus 2.98. However, the update also brought the Performance Management for the battery to iPhone 8, iPhone 8 Plus and the iPhone X. The feature is enabled by default and will start throttling performance as soon as it detects a drop in consistency from the power reserve. Apple is instead apparently requesting more iPhone 8 and iPhone 8 Pluses, to the tune of 5 million additional units, for a total of 25 million older iPhone units requested for the quarter. The company forecasted fiscal-first-quarter sales of $89 billion to $93 billion versus the average analyst projection of $93.02 billion.

A bunch of Apple's other Taiwanese suppliers fell sharply, including camera lens-maker Largan Precision Co Ltd, which was down more than 7 per cent, and Flexium Interconnect Inc, which fell 6 per cent.

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