Apple Halts Plans to Expand iPhone XR Production [Report]

Apple Halts Plans to Expand iPhone XR Production [Report]

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Apple has reportedly halted plans to have Foxconn and Pegatron expand iPhone XR production due to 'disappointing' demand, reports Nikkei.

"For the Foxconn side, it first prepared nearly 60 assembly lines for Apple's XR model, but recently uses only around 45 production lines as its top customer said it does not need to manufacture that many by now," a source tells the site.

That translates to a reduction of around 100,000 units per day, or 20% to 25% down from the original optimistic outlook.

"The utilization for the XR production is not reaching its maximum capacity now," says the source.

Apple had also asked Wistron to stand by for rush orders of the iPhone XR; however, it's said that the company will not receive any holiday orders for the 6.1-inch iPhone.

Notably, Apple is allegedly requesting more production of the iPhone 8 and iPhone 8 Plus. The company had planned to produce about 20 million older iPhone models this quarter but that has now been bumped up to 25 million units, according to the report.

Apple recently announced lukewarm guidance for the holiday quarter and said that it would no longer reveal units sold for iPhone, iPad, and Mac. The stock has dropped about 10% in value since.

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Apple Halts Plans to Expand iPhone XR Production [Report]

pj5 - November 6, 2018 at 5:45am
Apple should just keep making phones like the iPhone 8 Plus and call it the iPhone classic. Many non tech savvy people just want a good phone for a lower price with no gestures to confuse them.
hamood_d10 - November 5, 2018 at 8:09pm
Why would you buy an iPhone expensive and has a lower specs but you can get an iPhone 8 or 8 plus in cheaper price. They should stick to iPhone Xs Max and Xs