Apple cancels iPhone Xr production boost

Laverne Mann
November 6, 2018

Apple is widely considered the biggest customer for Foxconn. The company is a key assembler for iPhone XR, and it has also secured orders for iPhone XS Max, added the sources.

The tech giant has requested that its manufacturing partners Foxconn and Pegatron keep its iPhone XR production lines at 45 and not expand them to the 60 production lines it had initially planned, the Nikkei is reporting, citing sources who claim to have knowledge of its plans. So Apple is canceling plans to boost production over the holidays.

Apple's smaller supplier, Wistron, was reportedly told to eliminate all expectations of producing any iPhone XR parts. At Foxconn, only 45 production lines of the planned 60 are now being used.

All in all, if Apple really is opting to not enable extra production lines for the iPhone XR it means around 100,000 fewer iPhone XR models will be produced every day during the next few months.

Other iPhone manufacturers face similar issues. However, the update also brought the Performance Management for the battery to iPhone 8, iPhone 8 Plus and the iPhone X. The feature is enabled by default and will start throttling performance as soon as it detects a drop in consistency from the power reserve.

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Foxconn production of the iPhone XR is said to be down as much as a quarter from the original goal. These phones are about 20 percent less expensive than the iPhone XR.

"Suppliers of iPhone 8 and iPhone 8 Plus are getting a combined order of around 5 million more units", one source said.

The report follows Apple's decision last week to stop providing unit-sales figures in its quarterly earnings, making it even more hard going forward to determine individual unit success.

This information may help explain why Apple provided a dim forecast for iPhone sales in the current quarter. "Last year, Apple gave rush orders for the iPhone 7 series following the launches of the iPhone 8 series and premium iPhone X", the Japanese financial newspaper said.

Other reports by MaliBehiribAe

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