Apple has cut orders for all three of its new iPhone models frustrating suppliers, according to a new report from the WSJ.
In recent weeks, Apple slashed production orders for all three of the iPhone models that it unveiled in September, these people said, frustrating executives at Apple suppliers as well as workers who assemble the handsets and their components.
Especially problematic has been forecasting demand for the new iPhone XR. Last month, Apple slashed production orders by up to a third of the 70 million units initially requested for September through February. Over the last week, Apple told multiple suppliers that it's cut back production plans for the device again.
Suppliers are worried about Apple's ability to forecast demand since it started releasing three flagship models instead of two.
Earlier this month, Lumentum Holdings, a company that provides Apple with vertical cavity surface emitting lasers (VCSELs) for Face ID, announced a significant reduction in orders from one of its largest consumers. It's believed this customer is Apple.
Additionally, the WSJ Journal says that thousands of workers have voluntarily left Foxconn earlier than intended after the company cut overtime hours that are typically available during peak production times.
If Apple is truly seeing a downturn in demand, a new deal signed with Amazon.com might help bolster sales. Yesterday, Amazon started selling the new iPad Pro, MacBook Air, Mac mini, Apple Watch Series 4, and various other Apple devices. The site will eventually sell the new iPhones as well.
More details in the full report linked below.
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In recent weeks, Apple slashed production orders for all three of the iPhone models that it unveiled in September, these people said, frustrating executives at Apple suppliers as well as workers who assemble the handsets and their components.
Especially problematic has been forecasting demand for the new iPhone XR. Last month, Apple slashed production orders by up to a third of the 70 million units initially requested for September through February. Over the last week, Apple told multiple suppliers that it's cut back production plans for the device again.
Suppliers are worried about Apple's ability to forecast demand since it started releasing three flagship models instead of two.
Earlier this month, Lumentum Holdings, a company that provides Apple with vertical cavity surface emitting lasers (VCSELs) for Face ID, announced a significant reduction in orders from one of its largest consumers. It's believed this customer is Apple.
Additionally, the WSJ Journal says that thousands of workers have voluntarily left Foxconn earlier than intended after the company cut overtime hours that are typically available during peak production times.
If Apple is truly seeing a downturn in demand, a new deal signed with Amazon.com might help bolster sales. Yesterday, Amazon started selling the new iPad Pro, MacBook Air, Mac mini, Apple Watch Series 4, and various other Apple devices. The site will eventually sell the new iPhones as well.
More details in the full report linked below.
Read More