iPhone 8 Sales Down, 50% Cut In Component Demand
The impact of consumers switching off purchasing the new Apple 8 is now hitting home at Apple with the Company forced to cancel component orders with suppliers.
As a result, shares in the US Company dropped 2.4% overnight after it was revealed that the Company had cut 50% of their component requirements for the new iPhone 8 and 8 Plus.
Described as overpriced and lacking new features retailers and carriers in Australia who were banking on increased demand for the new iPhone 8, have now cut back their second and third quarter revenue forecasts.
Despite all the traditional Apple hype manufactured by Apple the iPhone 8 hasn’t been getting consumers into stores at the rate Apple is accustomed to and this is causing concern for management.
Much of this can be attributed to the fact the handset is very similar in appearance to the iPhone 7, which sells for less.
This week leading US consumer Group Consumer Report in another blow to Apple’s pride, said that the old Galaxy 7 from Samsung was superior to the new iPhone 8.
There is also no certainty that the $1,856 iPhone X, which goes on sale Nov. 8, and features an all-new design with an edge-to-edge OLED screen and revolutionary facial recognition technology will be the success that Apple anticipated.
Across town arch rival Samsung is lapping up sales of their Galaxy 8 and Note 8 which is significantly superior to the Apple iPhone offering.
Early iPhone adapters appear to be taking a wait-and-see approach to the iPhone 8, which rolled into stores in late September.
Apple has never cut production of an iPhone so early in the cycle, according to Taiwan’s Economic Daily News, which first reported on the cutback.