Hailed for giving some of the best insights into the operations of Apple Inc., KGI Securities analyst Ming-Chi Kuo said the technology giant may stop producing the current version of its iPhone X this summer, based on an analysis of its supply chain.
Kuo said demand for the latest iPhone model has been weaker than expected because of various issues such as the relatively small size of its screen.
If its production is discontinued, the US$1,000 smartphone would be the shortest-lived iPhone so far.
Apple usually continues to sell existing models until the release of its next new product. And I believe the company will decide whether or not to stop the production of one model based on actual sales figures.
Taiwan-based Kuo, who is close to many Apple suppliers, has made several accurate predictions about Apple in the past.
The market is trying to factor in Kuo’s report and figure out what it means for Apple and its suppliers.
It is rumored that Apple may launch three new iPhones in 2018, including iPhone X Plus, iPhone 8s and iPhone 8s Plus.
The move is primarily aimed at the Asia market, where bigger screens are preferred.
If so, Apple may resort to its usual practice of offering discounts for existing models until they completely discontinue their production.
Will Apple change its practice this time around? Let’s wait and see.
The full article appeared in the Hong Kong Economic Journal on Jan 29
Translation by Julie Zhu with additional reporting
[Chinese version 中文版]
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