Though touted as an “Anniversary” device and packed with revolutionary Face ID feature, iPhone X has the shortest lifespan in the fleet of Apple devices. But now Apple has decided to restart its manufacturing.
As per the reports circulated by Wall Street Journal, Apple is restarting production of iPhone X. If you wonder why Apple has taken this decision, the tech giant can supply contract requirements with Samsung Display as a possible reason for restarting iPhone X production.
Apple to Restart iPhone X Production; Offers Subsidies on iPhone XR to Mobile Operators in Japan
When Apple launched its next-generation smartphones in September 2018, it has discontinued the production of iPhone X to promote its latest devices. But Apple has to restart iPhone X production for two reasons: Apple has signed a contract with Samsung, and according to this contract, Apple has to buy a base number of OLED display panels.
The second reason is that iPhone XR failed to perform well in global markets even as the device was launched as a low-priced option to convert Android users in third-world nations.
The second reason sounds more convincing. If we go with the first reason (contract requirements with Samsung Display), it means iPhone Xs and iPhone Xs Max didn’t reach Apple’s sales targets. Recently, it was also reported that Apple had cut orders for iPhone Xs.
WSJ report also mentions that Apple is planning to reduce prices of iPhone XR in Japan and will offer subsidies to local mobile operators. This will come into effect as early as next week.
Notably, it is not yet decided by Apple if the company will be selling iPhone X in international markets, or the sale will be limited to some markets.
In case, Apple is selling iPhone X in global markets, analysts would keep a close eye on the prices of iPhone X. Interestingly, iPhone X is more expensive than iPhone XR.
If Apple does not reduce the price, it has to face one more problem: why should users buy a phone one year older than iPhone XR?
Apple is in a real fix here. iPhone XR has failed to gain momentum as it has fewer features than Apple’s other two flagship models (iPhone Xs and iPhone Xs Max) and sells at a higher price than popular older phones like iPhone 8.
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