Monday, 19 November, 2018

Apple Reportedly Halts Additional iPhone XR Production

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Sherri Watson | 06 November, 2018, 11:10

And will instead supply Apple will far fewer iPhone XR handsets than originally expected.

Taiwanese assembler Pegatron Corp fell almost 4 per cent and rival Hon Hai Precision Industry Co Ltd (Foxconn) fell 2.5 per cent. Apple is widely considered the biggest customer for Foxconn.

It looks like the iPhone XR is not doing as well as analysts and Apple had expected.

However, to enhance the company's global deployment, Tung said that Pegatron is studying the feasibility of producing in the Southeast Asia region and will make some adjustments if necessary.

Since it's the cheapest of the new iPhone trio, you'd expect the iPhone XR to be the best selling of the bunch, but apparently that's not how things work in Apple land.

Apple didn't respond to Nikkei's request for comment. It's possible, for instance, that overall iPhone demand is down and Apple is reducing its production costs.

Ives reaffirmed his $310 price target for Apple's stock, representing more than 50% upside to the current stock price.

"For the Foxconn side, it first prepared almost 60 assembly lines for Apple's XR model, but recently uses only around 45 production lines as its top customer said it does not need to manufacture that many by now", a source told the Japanese financial paper.

It may seem unusual to see an iPhone XS review on Android Authority, but it's hard to deny the iPhone's influence on the directions Android's gone over the years. Apple previously told Wistron to stand by for rush orders, but now the supplier will not receive any orders for the holiday season.

Five years ago, Apple cut production orders for its plastic-backed iPhone 5C a month after its launch, fueling speculation of weak demand for the model.

Last week, Apple did warn that sales for this holiday quarter are likely to miss the expectations of Wall Street. During that call, Apple also - for the first time ever - neglected to give iPhone sales numbers for the quarter.