Report says slow Apple iPhone X, iPhone 8/8 Plus sales will lead to as much as a 30% cut in orders to suppliers

While some analysts are telling clients that the 2017 iPhone models are selling well, supply chain sources have another story to tell. These guys are in the trenches and might have a closer view at what is really going on compared to an analyst sitting in a tall skyscraper on Wall Street. According to these supply chain sources, component suppliers could find Q1 2018 orders from Apple sliced by 15% to 30% compared to a typical first quarter.

Supply chain sources say lower iPhone 8/8 Plus demand is hurting sales of the iPhone X

Supply chain sources say lower iPhone 8/8 Plus demand is hurting sales of the iPhone X

Some argue that the lower orders to the supply chain is due to seasonal factors, such as the Lunar New Year holiday, which will drop factory utilization rates sharply for the week that the holiday runs. While that certainly is one of the reasons for the drop in component orders, other sources in the supply chain claim that iPhone X sales have turned sluggish thanks to slower sales of the iPhone 8 and iPhone 8 Plus. Sales of the latter two models have been losing steam, and order visibility for the pair has been declining starting last quarter, according to the supply chain. 

Suppliers of other parts including 3D sensing modules, camera modules, and memory chips have reportedly been advised to lower inventories. This way they don't take a punishing financial hit from lower deliveries to Apple's contract manufacturers.

With all the conflicting information about how well the Apple iPhone X and the rest of the 2017 models are selling, we should have some fresh information on February 1st when Apple is due to report on its fiscal first quarter 2018 earnings. This period covers October through December 2017, and will give us the first official iPhone sales figures to include the tenth anniversary model.

source: Digitimes

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39 Comments

4. sissy246

Posts: 6887; Member since: Mar 04, 2015

"While some analysts are telling clients that the 2017 iPhone models are selling well, supply chain sources have another story to tell. " I am sure the supply chain is more correct then the analysts. But doesn't change the fact that it is selling very good, just not as good as some are saying, lol

6. apple-rulz

Posts: 1840; Member since: Dec 27, 2016

The iPhone X was different solely for the sake of being different, and it wasn’t a good “different”. The ugly notch, the unintuitive gestures, Face ID, very expensive with no fast charging accessories included-Apple deserves egg on their face for the iPhone X. The iPhone 8’s are great phones, but getting tired looking and feeling. Apple sure does seem to be resting on their laurels, hopefully all the recent negative press they’ve been getting will be enough to jump start them.

7. cmdacos

Posts: 3742; Member since: Nov 01, 2016

Well said

16. makatijules

Posts: 835; Member since: Dec 11, 2017

Wow. Is this really you? But the dropping of support for 32bit apps was deal breaker #1. Having to spend $80 for a compatible fast charger and proper cable was #2. No premium headphones was #3. And the notch was #4 and Face ID failing equally as many times as it worked was #5 It's an iPhone 8 with a full display. It's not a $1000 phone. Especially if an S7 edge with more isn't worth $800 according to PA!

8. darkkjedii

Posts: 30667; Member since: Feb 05, 2011

Not selling well by iPhone standards, is still selling well by others. Even if it's not breaking records, it's still gonna be a success for Apple. It seems so many (makatijules/TechieXP) for one, wants Apple to crumble an disappear.

17. makatijules

Posts: 835; Member since: Dec 11, 2017

No I don't. I want them to give me a frikkin product worth WTF they are charging. I complain about the same stuff you do, except my list isn't like your. You complain about the phone missing features that matter to you. I complain about what I think matters to me. That's not wanting them to fall your hateful creature that calls yourself a man. I don't want any company to fail. Look at what the Note offers for $930. Apple bought Beats 3 years ago. Why arent Beats headphones in the box? In fact the $1150 iPhone should come with the AirPod and they could have given the Beats X with the base X. Samsung buys HK and the S8 right after comes with premium headphones. Apple is more money and cant do this. The reason they should fail is always trying to give little and ask a lot. I never said I wanted Apple to fail. NOT ONCE! And you are a douche for even trying to put words in my mouth I never said. If you gonna charge me $999 give me the value for my money. If you have a problem with what I said, when I watch you say the same things, just so you can gets your clicks from your boys. SUCKS FOR YOU! Lay off the steroids. I heard people die from them. Ask Lou Ferrigno. People like you are th3 reason Apple will never do better. Because even if their products don't meet your expectations, you buy them anyway. So you are telling Apple nothing is wrong so they see no reason to do better. You actually contribute to the problem. And then because someone is man enough to speak up, you act like some frikkin spoil little child, acting like someone said something bad about his mommy. Here is your bottle baby!

47. donfem

Posts: 708; Member since: Mar 30, 2011

I doubt they want apple to crumble. Expressing their feelings about a specific company should not be misconstrued

14. Zylam

Posts: 1767; Member since: Oct 20, 2010

Who cares how's it's selling, even on its worst day the iPhone sales will destory any other Oem. On the other hand, iOS seriously needs a massive infusion of basic features, it's just crippling at the moment and a visual sore.

24. makatijules

Posts: 835; Member since: Dec 11, 2017

Which ones. Because Samsung sold another 320M+ phones for 2017. Something Apple has NEVER done. And Huawei also sold mode phones as well. So Apple may outsell a lot, but not all. But in the end, more phones will have sold running Android vs all the combined iOS devices sold in the same year.

26. k4ever

Posts: 240; Member since: Oct 08, 2014

Seeing that Apple is in danger of falling to the number 3 spot, behind Samsung and Huawei, if their sales numbers continue to fall -- I would say that there are at least two OEMs that Apple is in no way destroying.

19. MaryPoopins

Posts: 324; Member since: Jan 15, 2015

Finally saw an iPhoneX in the wild today. Girl in front of me in a queue had one. Nice and shiny for sure, but couldn't believe how phat the bezels are on this "bezzeless" phone. Plus the notch is really retarded. The End :)

22. cmdacos

Posts: 3742; Member since: Nov 01, 2016

Agreed Bezel is almost a half centimeter which is pretty thick when you see it in real life...

20. LanjaKodaka

Posts: 219; Member since: Sep 27, 2016

I know it's slightly off topic, but the iPhone 8 Plus is heavy as s**t. I've held one in my hand recently and was wondering how much more heavy it would turn out once I put a case on it...

36. ph00ny

Posts: 1976; Member since: May 26, 2011

Plus models have always been on the heavy side

21. toukale

Posts: 593; Member since: Jun 10, 2015

We go to this every year. You can copy and pace the same article every year, just change the year number. Every Apple ramp up for the holiday season then cut back to normal level once the holiday season has passed. But every year the blogs and analysis report the same crap.

30. LouisMariano5

Posts: 59; Member since: Sep 22, 2014

why would you pay attention to apples fiscal reports ?... they could say their phones are selling like hot cakes when they aren't and everyone would believe them LOL Gimme a break !

44. sissy246

Posts: 6887; Member since: Mar 04, 2015

That's just it, they would have to believe them because apple doesn't give numbers they just say they are selling well.

40. midan

Posts: 2471; Member since: Oct 09, 2017

Same nonsense every year and then everyone is very quiet when Apple announce their record results next month.

41. tokuzumi

Posts: 1754; Member since: Aug 27, 2009

I like the option of having a fingerprint sensor. While Apple put a lot of tech and testing into the face id security, there really wasn't any reason they couldn't have put a fingerprint sensor on the back. Hopefully the next gen X gets a fingerprint scanner somewhere.

45. roscuthiii

Posts: 2383; Member since: Jul 18, 2010

Well, let's look at this objectively: This isn't the first Lunar New Year holiday. So, how has this holiday historically effected supply orders previously?

46. midan

Posts: 2471; Member since: Oct 09, 2017

"“Investors should buy Apple, but ignore reports of concerns about its new iPhones, CNBC’s Jim Cramer said Monday,” Berkeley Lovelace Jr. reports for CNBC. I urge people to not pay any attention to these publications that come out and say, “Look, there’s a shortage, they switched suppliers” …all these guys, they just don’t know anything.” — Jim Cramer" Well said

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