Apple is discounting its latest iPhones by more than $100 in China, an unusual move for the company, reports Bloomberg. It's thought these discounts are an indicator of dwindling demand.
JD.com Inc. and state carrier China Mobile Ltd. are among the retailers taking 800 yuan ($118) off the iPhone 14 Pro range over 11 days. Retailers in the southern electronics hub of Shenzhen have also begun cutting prices for the same handsets by 700 yuan, the official China Securities Journal reported after visiting outlets around the city. Apple's own local website, meanwhile, continued to offer devices at regular prices.
The sale is happening near the end of the Lunar New Year season when retailers welcome holiday shoppers ahead of schools reopening. Typically, Apple discounts its lower end models for bargain shoppers, but this year the iPhone Pro range is seeing the same cuts.
"The discount seems bigger than what we found in January, which was 3%-4%," Jefferies analysts led by Edison Lee wrote in a Sunday research note. "We see that as a sign of weak demand."
Although Apple's earnings were down year over year last quarter, the company outperformed its competitors to grab a record 85% of global smartphone profits. It also reached its highest ever share of smartphone shipments and revenue.
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JD.com Inc. and state carrier China Mobile Ltd. are among the retailers taking 800 yuan ($118) off the iPhone 14 Pro range over 11 days. Retailers in the southern electronics hub of Shenzhen have also begun cutting prices for the same handsets by 700 yuan, the official China Securities Journal reported after visiting outlets around the city. Apple's own local website, meanwhile, continued to offer devices at regular prices.
The sale is happening near the end of the Lunar New Year season when retailers welcome holiday shoppers ahead of schools reopening. Typically, Apple discounts its lower end models for bargain shoppers, but this year the iPhone Pro range is seeing the same cuts.
"The discount seems bigger than what we found in January, which was 3%-4%," Jefferies analysts led by Edison Lee wrote in a Sunday research note. "We see that as a sign of weak demand."
Although Apple's earnings were down year over year last quarter, the company outperformed its competitors to grab a record 85% of global smartphone profits. It also reached its highest ever share of smartphone shipments and revenue.
Please download the iClarified app or follow iClarified on Twitter, Facebook, YouTube, and RSS for iPhone updates.