Apple Will Reportedly Halve iPhone 8 And 8 Plus Production Following iPhone X Launch
When Apple announced the iPhone 8 and iPhone 8 Plus in September, it was just more of the same for many people. While it features a faster processor and wireless charging, it still offers pretty much the same experience that you would expect from the year-old iPhone 7 family, while looking much like 2014's iPhone 6.
It looks as though much of the Apple faithful are holding out for the upcoming iPhone X, and a new report suggests that the folks in Cupertino know this to be the case. Taiwan-based Economic Times says that Apple will dramatically cut iPhone 8 and iPhone 8 Plus production by as much as 50 percent in November and December to leave resources available for the more expensive and likely higher margin iPhone X.
“Our research suggests the production mix was 50/50 between iPhone 8/8 Plus and the iPhone X, but iPhone X allocation could shift up to 60-70 percent in December and even more in the March quarter,” said Rosenblatt Securities analyst Jun Zhang.
It is unknown how long this production shift in favor of the iPhone X will last, but if the flagship smartphone turns out to be as popular as many are expecting, it could be a long-term arrangement for Apple.
Earlier this week we reported that most U.S. customers have shunned the iPhone 8 and iPhone 8 Plus in favor of the less expensive iPhone 7 and iPhone 7 Plus. “Many respondents indicated that a meaningful portion of customers are buying iPhone 7 in lieu of the new iPhone 8, given the lack of significant enhancements in the new phone,” said KeyBanc Capital Markets analyst John Vinh on Monday. “Feedback from stores indicate customers are waiting to purchase the iPhone X or to compare the iPhone X before buying the iPhone 8."
The iPhone X will be available for pre-order on Friday, October 27th, and will be shipping to customers on November 3rd. The smartphone features a 5.8-inch OLED display, Face ID facial recognition which replaces Touch ID fingerprint recognition, and dual cameras with optical image stabilization for both lenses. The upgraded features also mean that the iPhone X starts at a hefty $999.