When Apple released the new machine this year, the biggest voice was not the deep black technology, but its high price, almost drowning the public opinion at that time.
This time, the iPhone XR and XS were slashed because of the expensive pricing and the sales volume after the listing was less than expected.
According to the data report released by the First Mobile Research Institute, in September this year, the first week of Apple's new product launch (September 21 - September 30), the iPhone XS Max sold only 480,000 units, iPhone XS sales are only 80,000 units, far below Apple and industry expectations.
It is reported that Apple has cut off 10% of iPhone XS and MAX orders for Foxconn, and also cut orders for the Heshuo factory, reducing 10% of Phone XR orders.
According to reports from the domestic media on Apple's supply chain and channels, Foxconn's first-line workers revealed that in Shenzhen Guanlan Industrial Park, production arrangements have dropped by 10% compared to last year's iPhone X production during the period of overtime to mid-December. The end time is one and a half months ahead of schedule.
"At this time last year, there were 13-14 million people working at the same time. The queue for dinner was more than 20 minutes. This year, there were only 70,000 people. At the same time, the flow of employees last year was very large, but there are thousands of people walking every day this year. But no longer recruit people to come in." Wuhu (a pseudonym), a frontline worker, said this.
In addition to production, in terms of channels, this year's iPhone also showed a decline in the sales of the first sales. According to channel operators, "the iPhones were sold in the first year in the country with seven or eight thousand units, and this year there were no more than 5,000 units."
Affected by the chopping, Foxconn will be released or will be laid off.
Earlier news said that Apple originally asked Foxconn to prepare 60 production lines for the iPhone XR, but recently it only used 45 production lines. In addition, Apple has arranged the smaller foundry Wistron Group as a "backup manufacturer", but Wistron Group will not receive orders for iPhone XR this year.
As soon as the news came out, the stock prices of Apple and other suppliers fell across the board. Apple's share price plummeted by 2.84%, and the market value fell below the $1 trillion mark.
Apple supplier Oorvo's share price plummeted 7.3%, the company's biggest decline since 2016. Shares in Cirrus Logic plunged 4.92%, On Semiconductor's share price plummeted 2.4%, and Skyworks Solutions plunged 4.1%.
According to the news of microblogging bloggers, Apple has revised the forecast of 7nm A12 CPU in the first quarter of next year, from the original forecast of nearly 120,000, down 20%, leaving 90,000 (12 Ten thousand films have been reduced by 20% compared to the fourth quarter of this year, which is equivalent to a 40% decrease in quarterly revenue growth. However, the reduction in orders for the Apple A12 CPU did not have much impact on TSMC. TSMC's 7nm capacity in the first quarter of next year is still fully loaded. Because there are Qualcomm's 8150 and HiSilicon's Kirin 980, plus AMD's 7nm CPU.
Berne Optics recently abolished more than 10,000 employees, and the suspect was also caused by the decline in sales.
Earlier this year, Phone X's lower-than-expected sales results in Apple's decision to cut production in the first quarter of this year. Apple asked suppliers to cut production in the first quarter of this year from more than 40 million in November last year, and supply chain parts suppliers also appeared. Holidays and production suspensions.
Analyst Guo Minghao once said: "The iPhone XR shipments are shrinking by 30 million units. The first thing to bear is the weak demand. In addition, another constraint is that its competitors are getting stronger."
The lack of innovative black technology and the inequality of high pricing may be the reason for the weak demand for Apple's new machine. Domestic mobile phone manufacturers represented by Huawei, OPPO, VIVO, and Xiaomi continue to squeeze the market with innovations such as fast charging, screen fingerprinting, and three-photographing, as well as balancing cost performance.
Although this is not Apple's first cut, but the cut is not a positive signal, in addition to the loss of global smartphone shipments, the market competition between several head manufacturers will be more intense.