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APPLE CUTS PRODUCTION ORDERS ON THE THREE NEW IPHONES

iPhone maker, Apple Inc, has decided to cut production orders in recent weeks for all three iPhone models launched earlier in September, the Wall Street Journal reported on Monday.

A 'lower-than-expected' demand for the new iPhone's, and Apple's decision to offer more models, has made it more difficult to anticipate the number of components and handsets the company needs. Apple shocked its investors a few weeks ago with a much lower forecast towards sales for the Christmas quarter, prompting certain suppliers to issue warnings that pointed to weakness in the new iPhone sales.

According to the Wall Street Journal, forecasts have been particularly problematic for the iPhone XR, with Apple cutting its production plan by up to a third of the nearly 70 million units some suppliers had been asked to produce between September and February, and that last week, Apple informed several suppliers that it lowered its production plain again for the iPhone XR.

The company started selling its latest phone generation, the iPhone XS and XS Max, in September and the XR model in October. But, if Apple can keep its streak going from last year by posting increased revenue numbers, it likely won’t matter to investors how many iPhones it actually sold.

 


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