Apple’s Asia suppliers fall on report iPhone XR production boost canceled

08 November, 2018, 04:13 | Author: Elena Summers
  • Report: Apple cancels iPhone XR production boost

The fact that it still offered Face ID, the Apple A12 Bionic processor, and a camera - albeit single, not dual - the same as that of the iPhone XS also impressed reviewers.

iPhone XR debuted alongside the iPhone XS and top-of-the-line XS Max.

Apple announced it has taken $62.9bn (£48.2bn) in revenue for Q4 2018, an increase of 20 per cent ($52.5m) year-on-year. However, the Taiwanese manufacturer has utilised just 45 production lines so far.

Apple launched three new iPhones this September with the cheapest of three smartphones- iPhone XR- coming with a starting price of $749 (Rs 76,900 in India). While other, pre-launch supply-chain reports had even suggested that at one point, Apple was preparing to boost production of the mid-range handset by as much as 50 percent based exclusively on higher-than-expected sales outlook.

Foxconn initially built out 60 assembly lines for the iPhone XR, expecting extremely high demand for the unit.

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"The utilization for the XR production is not reaching its maximum capacity now", sources told the publication.

Whilst iPhone XR demand has not met expectations, reports claim Apple has requested more iPhone 8 and iPhone 8 Plus models.

According to Nikkei, this means that Foxconn will be producing almost 100,000 units less every day based on the new estimates available.

Apple did not respond to Reuters' request for comment, while Foxconn and Pegatron each said they would not comment on specific customers or products. Apple is still selling the previous generation iPhone and is now producing it again in larger quantities. On the other hand, the iPhone XR did not appeal to the consumers as much as the company thought it would. 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 previously planned 20 million units for the older iPhone models this quarter, but raised the figure to 25 million units, the individual said.

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