Apple is having a hard time selling iPhones to the consumers and even with new features, the company is unable to sell them. Apple took a direct hit from the issue and even lost its number one spot to Microsoft who in turn lost it to Amazon.
Now a new report from Nikkei confirms that Apple is cutting down production by 10%. According to the publication, Cupertino has asked its suppliers to manufacture fewer iPhones than planned for January to March. Apple is reportedly cutting the overall production target of both old and new iPhones, including the XS Max, XS, and XR, by around 10%. The report indicates that Apple is going to reduce production from 43 million units to 40 million iPhones. This number is even lower than the 48 million units that Apple had planned earlier.
Unfortunately, it looks like even Apple isn’t immune to market saturation and has taken a hit due to people choosing not to upgrade. Meanwhile, Chinese OEMs like OnePlus and Vivo are offering similar specs at a significantly lower price which is just like adding salt to injury.