Apple’s premium phone arrived to stores nearly three months ago and while it has seen a crazy amount of hype, not everything appears to be good news for the device. A new report from Nikkei claims that the company will cut production target in half for the months of January, February and March.
The report says the company has contacted suppliers about the decision. The cut in production will reportedly drop the numbers from 40 million units to 20 million. Many believe the decision was made over the disappointing sales during the holiday season.
The iPhone X was announced back in September along with the iPhone 8 and iPhone 8 Plus. The premium phone was officially released on November 3 after months of hype. The device brings major changes from previous editions but at a super high price.
The iPhone X has a starting price of $999, making it the most expensive iPhone ever and also one of the priciest flagships on the market. The device brings major additions such as facial unlocking technology and wireless charging.
The price seems to be the one thing that is keeping customers away. Before the iPhone X release, the company also debuted the iPhone 8/iPhone 8 Plus, two phones that bring minor improvements when compared to the iPhone 7 and Plus version. Reports said a few months ago that the iPhone 8 and iPhone 8 Plus sales were slow and one analyst, who cited carrier store surveys, revealed that the iPhone 7 was outselling the iPhone 8. At the time, it was believed that the iPhone 8 sales had been slow due to the close release of the iPhone X. It was also believed that the iPhone 7, which is similar to the iPhone 8, was having stronger sales because of its price cut.
Last month, a report mentioned that the iPhone X had been outsold by the iPhone 8 and iPhone 8 Plus combined. This could be due to a number of reasons, including the lower price and features that users are used to having on their iPhones. The iPhone X looks amazing and many consider it one of the best phones of 2017 but it lacks a home button and does require a little time to get used to.
The Nikkei report also mentions that the company will keep the production of 30 million units for the iPhone 8 and iPhone 7. It’s rumored that the company will release three new iPhones this year, including a new version of the SE.