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Apple cuts iPhone 5c production by 35% due to slower than expected sales

Saturday, 19th October 2013 14:44 GMT By Stephany Nunneley

iPhone 5c is not going over well with consumers the short time it’s been in stores according to NPD data; however, the firm’s iPhone 5s has proved a success despite the phone not having being upgraded as much as hoped from the standard iPhone 5.

According to NPD, via Yahoo Finance, Apple has cut back 5c production by 35% and increased 5s production by 75%.

Apple raised the price of the iPhone 5c despite it not having as many bells and whistles as its counterpart, in order to hit its profit target when Chinese carriers cut their subsidies on the phone. If Apple had lowered the price, many financial folks feel, there may not have been such a sales disparity between the two models.

Also, the market’s idea of what it thought the iPhone 5c would have been is much different than what Apple released. Despite the market wanting a low-cost smartphone, Appl isn’t interested in providing one and the rumors about iPhone 5c a “cheap” entry into the franchise proved wrong when it was announced as being almost identical to iPhone 5 – and not “cheap”.

Market watchers expect the firm to cut the price of the phone to save face instead of cutting it out of the market altogether.

Meanwhile, Apple is expected – if rumors are true- to unveil a new iPad mini and iPad 5 during its conference at the Yerba Buena Center for the Arts in San Francisco next week on October 22.

The new models are believed to be slimmer and lighter with a better camera, and to utilize Apple’s 64-bit A7 chip. A new Mac Pro model is also expected to be announced.

We’ll be watching the live blogs and will report whatever comes out of it.

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2 Comments

  1. Cort

    Maybe they should introduce a budget iPhone model.

    Oh, that’s right…..

    #1 1 year ago
  2. MrWaffles

    A cheap iPhone wouldn’t sell. It would kill the Apple mystique and status.

    People don’t want to be seen with “the cheap iPhone”, that’s why the C ain’t selling. They will change their marketing strategy on foreign market though, Apple will push the C as the normal iPhone and leave the S sell by regular demand.

    #2 1 year ago

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