Apple reportedly cancels iPhone XR production boost

Report: Apple cancels iPhone XR production boost

The iPhone XR is reportedly not selling as well as Apple and analysts predicted

Apple has informed several of its suppliers that expectations should be tempered for orders of the Apple iPhone XR.

"We caution investors not to lose sight of the massive metamorphosis on the horizon at Apple being led by the services business", Ives wrote in a research report published Monday. Its cheaper build materials, colorful design, and emphasis on core features are in stark contrast with the luxury-minded Apple iPhone XS and XS Max.

Apple had asked Wistron, one of its smaller manufacturing partners, to "stand by" in case iPhone XR demand exploded.

Apple has canceled the additional production lines for its budget iPhone XR meant to cover the original expected demands for the phone, reported the Nikkei Asian Review.

"For the Foxconn side, it first prepared almost 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 told Nikkei. Reportedly, Apple told Foxconn it does not need the extra lines. That's down 20% to 25% compared to Apple's most optimistic prognosis.

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It may seem unusual to see an iPhone XS review on Android Authority, but it's hard to deny the iPhone's influence on the directions Android's gone over the years.

It's worse news for Wistron, which had been warned to ready itself for a potential rush of holiday orders. This is not the first time, five years ago, when Apple launched the iPhone 5C with plastic back, it had cut production orders a month after its launch, which fuelled speculation of weak demand for the model.

Other iPhone manufacturers face similar issues.

Now usually, we would simply have to wait until January when Apple releases its earnings report to get some insight into overall iPhone sales and the veracity of Nikkei's report. The company forecasted fiscal-first-quarter sales of $89 billion to $93 billion versus the average analyst projection of $93.02 billion.

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