14 DAY TRIAL // Apple has reportedly notified its iPhone 5c assemblers that it is reducing orders of the plastic smartphone for the fourth quarter amid “raising concerns about weaker-than-expected demand and its pricing strategy for the device.”
This, according to the Wall Street Journal, whose sources generally paint an accurate picture of the inner workings of Apple Inc.
Apple reportedly told its Taiwanese assemblers Pegatron and Foxconn that “shipments of the iPhone 5C in the fourth quarter would be cut,” according to people who are familiar with the matter.
Pegatron, which currently produces two thirds of the iPhone 5cs, was reportedly told to prepare for a 20% cut in orders. Foxconn, which handles the remainder of iPhone 5c orders, was told to reduce shipments by a third.
Apparently, customers are aware that the only feasible investment is the high-end iPhone 5s. No surprise there. After all, the iPhone 5c really isn’t all that cheap, as analysts had pegged it. Plus it’s just a repackaged iPhone 5, in essence.