Apple To Halve iPhone X Production Target After Disappointing Holiday Sales

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Kuo believes that Apple doesn't have enough resources to pull off a year with four iPhone launches.

For comparison, Apple shipped 29 million iPhone X units in the fourth quarter of 2017, found out by Singapore-based market research firm Canalys. "Given that in December iPhone X made it into the top three best-selling devices across all key regions, particularly in urban China where it was the top selling model, the pricing strategy seems to have been vindicated".

Apple continues its slide on Tuesday as more reports confirm that the company has cut production targets for the iPhone X in half.

Apple is allegedly cutting iPhone X production in half for 1Q18 following disappointing holiday sales, reports Nikkei. Those sales will include numbers for iPhone 6, 7, and 8 models in addition to iPhone X sales numbers. The reports come barely days after analysts speculated that Apple will kill off the iPhone X once the second-generation model comes to market this year.

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Analysts are now walking back the "supercycle" predictions, citing the higher price of the new phone as one of the factors contributing to lower demand. The production cuts are also expected to "have a domino effect on manufacturers" supplying parts for the iPhone X, with a likely impact totaling billions of dollars. Hence, due to this busy schedule, in case Apple really has time for a new iPhone SE 2, then it might not feature big changes. Presumably, Apple would continue to offer the 4.7-inch iPhone 8, but that would feature older components.

The past two months have been tumultuous for the American tech leader, with complaints and lawsuits being filed against the company for its move to slow down the performance of its aging iPhone models.

The iPhone X, which features an edge-to-edge OLED screen, has been heralded by Apple CEO Tim Cook as "the future of the smartphone".

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