Apple is supposedly slashing production orders for its latest iPhones, as per a report from The Wall Street Journal that mentioned sources. The sources state that requirement for the new devices—particularly the iPhone XR—has been lower than anticipated.
But while the information might be somewhat worrying at first instance, it may not be as concerning as it sounds. This can be the outcome of changing iPhone strategy by Apple, which has aimed more lately on lifting the amount of money it gets of every device, rather than by reducing prices to goose sales figures. Previous quarter, the firm witnessed a 29% revenue increment in its handset division with a 0% modification in iPhone unit sales as compared to a year earlier, so it is a plan that appears to be working well.
We witnessed similar assumptions of dropping Apple sales with the iPhone X in 2017, which eventually turned out to be nothing but rumors.
On a related note, last quarter, research firm Canalys rolled out a report as per which Apple had the majority of share in the shipments for smartwatch in the quarter two of this year. According to the report, total 10 Million devices were exported in the quarter and out of that 3.5 Million were Apple Watches.
In comparison to the same quarter in 2017, the firm saw an increment of 30% in the number of wearables exported. In spite of the rise in the number of exports, the firm has seen a drop in its market share. As per Canalys, the Apple’s market share has dropped to 34% in comparison to 43% of quarter one of this year.
“Apple encounters a rising threat from rivals, which have begun to pass the mark of million quarterly shipments. Merchants are attempting to distinguish their goods with smart coaching, enhanced heart-rate metrics, and improved mapping,” claimed Vincent Thielke, Canalys Research analyst, to the media.