Apple reportedly cancels iPhone XR production boost

Apple reportedly cancels iPhone XR production boost

Apple reportedly cancels iPhone XR production boost

Monday's fall came after Apple told its smartphone assemblers Foxconn and Pegatron to halt plans for additional production lines dedicated to the iPhone XR which hit shelves in October, Reuters reported citing a Nikkei report.

The $749 model is Apple's budget iPhone, and at a few hundred dollars cheaper than the flagship XS and XS Max was meant to stir consumer interest among more cost-conscious buyers. And if you liked smaller devices, the iPhone XR is actually the second-worst Apple phone to replace your old phone with - the iPhone XS is narrower, at 2.8 inches versus 2.98.

First, Apple always rejigs production capacity following a product launch.

Both Foxconn and Pegatron are used by Apple to assemble its smartphones, alongside Wistron.

Last year, Apple had to face one of the most controversial year endings when the infamous performance throttling feature was discovered to bog down older iPhones.

"The utilization for the XR production is not reaching its maximum capacity now".

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The iPhone XR might be too good to ignore, based on in-depth reviews, battery life ratings, and rigorous durability tests, but it seems that's precisely what a lot of potential buyers are doing. The company suggested it would miss analysts' earnings targets for the usually busy holiday season, with demand in emerging markets lower than expected.

Apple did not immediately respond to a Fortune request for comment on the report.

This information may help explain why Apple provided a dim forecast for iPhone sales in the current quarter.

While Apple had great expectations for the iPhone XR, it's now ordering more iPhone 8 and 8 Plus models from its partners.

Yet Nikkei is also reporting that while Apple may be choosing not to initiate extra reserved production lines for the iPhone XR, the company is boosting its production of the iPhone 8 and iPhone 8 Plus this quarter by an extra 5 million units. Originally Apple had ordered 20 million of the last generation model but has since raised the order to 25 million.

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