Most industry observers agree that this year’s crop of new iPhones, and especially the iPhone XR, haven’t performed as well as Apple would have liked – but new statistics suggest iPhone sales might not be as bad as you thought.
As reported by Bloomberg, two of Apple’s biggest Asian suppliers actually posted a sizeable profit in November 2018, with TSMC and Hon Hai Precision Industry Co both enjoying a 5.6% bump last month.
The performance of these two companies is particularly telling when it comes to new iPhone demand because a huge chunk of their business is based on their cosy relationship with Apple: 50% of Hon Hai’s revenue, and 20% of TSMC’s, is derived from their work on the iPhone.
However, this could potentially be attributed to a seasonal profit rise – November features the Black Friday shopping extravaganza, after all – and demand for the production of older models, rather than new phones like the iPhone XS and iPhone XS Max.
As a result, the weight of opinion is still very much that the new iPhones are struggling.
Apple has seemingly stopped sharing iPhone unit sales as of November, which has triggered alarm bells across the industry, and a number of its other suppliers are reporting reduced demand from the Cupertino-based firm for the components they supply.
But what’s bad news for Apple could actually turn out to be good news for consumers and give way to a bumper crop of iPhone XR deals this holiday season.
Already, Apple has taken the rare step of offering a discount on its ‘affordable’ new smartphone in the form of a hefty $300 trade-in credit, though sadly the offer is US-only and expires December 31.
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Such promotions could well reappear in the new year, though, so it’s worth keeping an eye out for iPhone price cuts going forward on the back of another round of seemingly dreary financial news.
What do you make of Apple’s supposed iPhone sales struggles? Let us know on social media @TrustedReviews.