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Report: Apple Cutting iPhone X Production Due To Slow Sales

Apple recently told suppliers that it plans on cutting the production of the new iPhone X in half, according to the Asian-based outlet Nikkei.

The substantial reduction, which would bring the manufacturing of the device to roughly 20 million units for the first quarter, is allegedly in response to an apparent lack of product sales.

Apple’s shares dropped precipitously Monday following the publication of Nikkei’s report, according to CNBC. The allegations follow famous Apple analyst Ming-Chi Kuo’s evaluation, who just last week said the once-highly anticipated iPhone X will be “end of life” by Summer 2018, citing a purported decrease of interest in China.

The stock dropped roughly 1.9 percent at one point early Monday, and is down an overall 4.9 percent since Jan. 22, reports CNBC, equating to, in the past week, a $45 billion dip in total shareholder value.

And it wasn’t just Kuo’s evaluation that likely contributed to the decline, as J.P. Morgan analyst Narci Chang also voiced the view that “high-end smartphones are clearly hitting a plateau this year.” Chang predicted, similarly to Kuo, that manufacturing of the iPhone X could be cut in half in just a few months.

After being asked if the $1,000 iPhone X is too expensive for “the average American” on ABC’s “Good Morning America,” Cook argued that it is “a value price, actually.”

Researchers also declared the iPhone X the most fragile iPhone in Apple’s history.

Apple did not respond to The Daily Caller News Foundation’s request for confirmation or further detail in time of publication.

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