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iPhone Part Suppliers Brace For Low Orders In Q1Y18

Recent reports reveal that component suppliers of Apple’s three latest smartphones – the iPhone X, iPhone 8 & 8 Plus – are bracing themselves for low orders in the first quarter of 2018, citing lower-than-expected sales.

According to Taiwanese trade publication, DigiTimes, suppliers are forecasting 15% – 30% less component orders for the first quarter of the year. Many vendors are citing season factors, whilst some argue lower-than-expected iPhone 8 & 8 Plus sales have slowed down momentum for the iPhone X.

Sources state that component orders for iPhones – particularly the 8 & 8 Plus – started declining in the forth quarter of last year, reflecting lower-than-expect overall sales.

Some component suppliers state they intend to temporarily halt production in February, due to low order forecasts and the week long Lunar New Year holidays.

Other upstream vendors – such as memory chips, PCBs, 3D sensor modules and camera modules – have also reportedly been alerted to maintain control of their inventory, to withstand the impact of declining iPhone component orders.

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