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Apple reportedly cuts iPhone 5C orders

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Apple is said to be cutting its iPhone 5C orders amidst less than stellar demand for the mid-range smartphone.

There have been numerous reports of the iPhone 5C's failure to impress consumers since its launch a month ago. Just last week we reported that analysts were slashing their sales predictions for the 5C, with shipments today said to be a third lower than expected.

Now sources are claiming that Apple itself has cut its supply orders for the iPhone 5C. According to the Wall Street Journal, Pegatron Corp. has been asked to reduce assembly quotas of the plastic smartphone by less than 20 percent, while Hon Hai Precision Industry Co. has done so by as much as a third.

It's been speculated that this weak demand for the iPhone 5C is down to its uncompetitive price. Most were expecting the phone to be Apple's first affordable iPhone, potentially selling for less than £300.

In the event, its £469 starting point makes it only slightly cheaper than the considerably more capable iPhone 5S at £549.

Speaking of which, the fortunes of Apple's premium smartphone option are said to be in stark contrast to the iPhone 5C. The report claims that Apple has actually raised orders for the iPhone 5S in the fourth quarter following strong demand and widespread shortages.

Of course, such supply chain adjustments are common in the smartphone industry, but it's this contrast between iPhone 5C and iPhone 5S supply that's most telling.

Apple sold nine million of its new iPhones in their first weekend on sale, but it has been suggested by numerous sources that the premium iPhone 5S made up the vast majority of that number.

Read More: iPhone 6 rumours

Via: Reuters

Go to comments

Lyndon

October 17, 2013, 9:22 am

Doesn't surprise me. Whenever the TV adverts are on, there is always a chance you will see the Apple 5C advert with all the happy people using the 5C. This nearly always means that a company is struggling to sell a product and is trying desperately to get that product into your mindset.

andyvan

October 17, 2013, 9:49 am

Not really. Advertising campaigns would have been planned months in advance, so advertising now isn't as an indication of anything. That's not to say it's a big success or otherwise, but the advertising volume here isn't really connecting.

Lyndon

October 17, 2013, 11:17 am

Andy. Seen any Iphone 5S adverts recently ? the adverts would have been shot for the product, yes. But buying more advertising time for a product in the media isn't done months in advance. slots can always be found and paid for in a much smaller time scale.

andyvan

October 17, 2013, 11:47 am

No, I haven't, but that's because Apple would have known it would sell out from the start due to the low stock. There isn't much point planning a multi-billion dollar ad campaign for a phone at launch when there's none available to buy. I suspect you'll begin seeing 5S ads in the next few weeks once the stock becomes more fluid and readily available.

kroguk

October 17, 2013, 11:51 am

Am I the only one who see's the starting price of £469 as distinctly not "mid-range"? Drop the price to sub £300 and they'll sell like hot-cakes ! Keep it as it is and the phone will only get bought by those with more money than sense :-(

Evan

October 17, 2013, 12:12 pm

Yes £469 isn't really mid-range

Pg

October 17, 2013, 1:56 pm

Definitely not mid range and as the article says, far too close to the 5s in price point. I said it before, Apple don't do cheap - which makes this phone pointless, or Apple their own worst enemy.

Would be interesting to see what would happen if the price was cut to mid-range ~ 300.

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