Apple will halve its iPhone X production output, due to lower-than-expected sales in key markets during the 2017 holiday season according to Nikkei and Bloomberg. The company has informed its suppliers that it will reduce production of the handset during the first quarter of 2018 from 40 million units to 20 million.
The device’s high-end price point has been attributed to its lacklustre sales performance. The announcement is expected to affect Apple’s OLED supplier, Samsung Display, as well as the company’s plans to introduce further iterations of iPhones with higher-cost OLED displays.
Analyst Comment
We had previously heard, informally, that Samsung was slowing down its investments in increasing its flexible OLED capacity and this kind of cut in volume would be a good reason to be cautious. (BR)
