or Connect
AppleInsider › Forums › Mobile › iPhone › Apple reportedly cutting iPhone 5c orders as it boosts 5s production [u]
New Posts  All Forums:Forum Nav:

Apple reportedly cutting iPhone 5c orders as it boosts 5s production [u]

post #1 of 153
Thread Starter 
The Wall Street Journal reported on Wednesday that Apple has modified its iPhone supply chain forecast for the upcoming fourth quarter, reducing 5c orders from its two manufacturing partners, Foxconn and Pegatron, while bumping production of the 5s [updated with another affirmation].

iPhone 5c


Citing sources familiar with the matter, the WSJ claims Apple notified both suppliers that it would be cutting iPhone 5c shipments for the fourth quarter, with Pegatron seeing orders reduced by less than 20 percent, while Foxconn will cut production by roughly one third.

Update: Also on Wednesday, Reuters published its own separate story citing its own supply chain source, who also reportedly said that Apple has cut fourth-quarter orders for the iPhone 5c.

Analysts estimate Pegatron makes two thirds of all iPhone 5c units, while Foxconn handles the remaining third, the report said. As a result of the trimmed orders, Foxconn has purportedly stopped hiring new workers.

In addition to the assembly line slowdown, one iPhone 5c component supplier received word that orders would be slashed by 50 percent. It should be noted, however, that orders placed with a single supplier may not be an accurate gauge of consumer demand.

Seemingly buried in the WSJ article is mention of two Foxconn executives who said that along with the iPhone 5c cuts, Apple has raised orders for the more profitable iPhone 5s. The publication did not elaborate on specific numbers or how they compared to the 5c drawdown.

Wednesday's report aligns with recent retail inventory checks that showed iPhone 5c supply holding steady, while stock of the higher priced iPhone 5s continued to dwindle. KGI analyst Ming-Chi Kuo also slashed his iPhone 5c shipment model by 33 percent for the September quarter.

Apple introduced the pair of new iPhones at a special event in September, with the 5c priced as a mid-tier offering and the 5s positioned as the company's flagship model. The handsets combined to reach a record breaking nine million unit sales over the first three days of availability, though Apple declined to offer a per-device breakdown.
post #2 of 153
5c is just too expensive compared to 5s. Should I upgrade I'll gladly pay $100 extra for a phone that seems to last longer, processor wise. So I don't have to upgrade my phone in 2015, but maybe 2017 and switch to a sim only account.
There is a crisis going on.
post #3 of 153
agreed.

I love the diversification: for the colourful (for young and colourful people) and the business/Pro model 5s. However, people evaluate:
- a slight price difference,
- a steep generation difference (especially with the 64bit and the TouchID)

and conclude that the 5s is a better investment since it will have a longer lifecycle.
post #4 of 153
Quote:
Originally Posted by AppleInsider View Post
It should be noted, however, that orders placed with a single supplier may not be an accurate gauge of consumer demand.
 


Of course... that little tidbit won't stop people from publishing such nonsense.

I miss the days of "real" journalism.  This is just crap one would find on-par with the National Enquirer.  Any articles about "Bat Boy" by any chance?

post #5 of 153
I suspect apple is heartbroken if people are prepared to pay for a higher margin product. Heartbroken.

That said, is the 5C selling as well as a 4S a year ago? Or better?

Is this carry on just a short seller strategy?
It's the heat death of the universe, my friends.
Reply
It's the heat death of the universe, my friends.
Reply
post #6 of 153
The comments by milting & racingbull indicate that Apple has got its pricing right with the 5C.

The more affordable 5C attracts people wanting/aspiring to a new iPhone but on careful consideration they feel that the extra is worth it for the state of the art 5S, the most advanced smartphone around.

Also retailers discounts for the 5C attracts and pulls in potential buyers to stores, many of whom also upgrade to the 5S.

As racingbull rightly says, the 5S a better investment and will command a significantly higher trade in value, making it cheaper in the long run.

Both the 5S and 5C have similarly high margins for Apple, but more people moving to 64 bit, Touch ID and motion sensor M7 chip create new opportunities for developers. There will be a rush of new, high quality Apps making use of these new features, greatly increasing the already large quality gap between iOS Apps, compared to inferior Android Apps.
post #7 of 153
Quote:
Originally Posted by Secular Investor View Post

The comments by milting & racingbull indicate that Apple has got its pricing right with the 5C.

The more affordable 5C attracts people wanting/aspiring to a new iPhone but on careful consideration they feel that the extra is worth it for the state of the art 5S, the most advanced smartphone around.

Also retailers discounts for the 5C attracts and pulls in potential buyers to stores, many of whom also upgrade to the 5S.

As racingbull rightly says, the 5S a better investment and will command a significantly higher trade in value, making it cheaper in the long run.

Both the 5S and 5C have similarly high margins for Apple, but more people moving to 64 bit, Touch ID and motion sensor M7 chip create new opportunities for developers. There will be a rush of new, high quality Apps making use of these new features, greatly increasing the already large quality gap between iOS Apps, compared to inferior Android Apps.

 

This reasoning is just as made up as any 'analysts'. 

 

What it says is that Apple quite happily developed tooling for, and produced, millions of 5Cs so that it would sit on shelves and entice people to buy the 5S instead. Seriously?

 

What it also says it that there is little reason to buy the 5C. Which is evidently true if the newspaper is to be believed and production is being cut back.

 

BTW, the touch id is pretty cool, but I find it's rejecting my fingerprints more often after a week or so of use. Initially it was spot on.

post #8 of 153
Quote:
Originally Posted by miltenb View Post

5c is just too expensive compared to 5s. Should I upgrade I'll gladly pay $100 extra for a phone that seems to last longer, processor wise. So I don't have to upgrade my phone in 2015, but maybe 2017 and switch to a sim only account.
There is a crisis going on.

This is a lot of peoples argument against the 5c, but it has no backbone.

 

Nobody complained about the 4S when the 5 was around. There was a $100 difference then. If you were buying a new upgrade, it makes sense for $100 to get the latest.

 

Oh, and it was the same with the previous generation, and generation before that, and generation before that.

 

Only now people are complaining about price. Why? Because loser analysts started a rumour that it was going to be radically cheaper. They were wrong. Yet people still talk about price. Pretty ridiculous, really.

 

The only comparisons people should make are what is different. The iPhone 5c takes what would of been the iPhone 5's spot (mid tier). The iPhone 5c comes in 5 coloured plastics, it has a slightly better battery and supports many, many more 4G base bands. So Apple has upgraded the 5, for free, as it is the same price as what the 5 would of been.

 

/rant

post #9 of 153
The iphone 5c could have been popular if they made them in colored metal like the touch. Plastic seems too synonymous with cheap.
post #10 of 153

I don't mind plastic.  It's quality plastic.  It is a quality product.

 

Logically, they'd can the iPod Touch and just add a phone receiver and price it for another £100 at the low end and another £150-ish at the high end.  Children and teens would have a great phone...in alu colours.  The 5C is in some ways bemusing.

 

The iPod touch is the best designed mobile product they have.  It's slim, beautiful and trumps even the 5S design.  The Touch is light and curved alu back.  For me, it's a far better design.  

 

You'd have phones in the £200-£350 range.

 

How much would it cost to add a phone receiver to the iPod Touch?  No, seriously, I'm asking.  Anyone know?

 

Lemon Bon Bon.

You know, for a company that specializes in the video-graphics market, you'd think that they would offer top-of-the-line GPUs...

 

WITH THE NEW MAC PRO THEY FINALLY DID!  (But you bend over for it.)

Reply

You know, for a company that specializes in the video-graphics market, you'd think that they would offer top-of-the-line GPUs...

 

WITH THE NEW MAC PRO THEY FINALLY DID!  (But you bend over for it.)

Reply
post #11 of 153

And at £350, I don't think that's 'cheap' either.

 

The iPod Touch doesn't look 'cheap' does it?  ANd what price does it start at?   What price did the original iPod start at?

 

Lemon Bon Bon.

You know, for a company that specializes in the video-graphics market, you'd think that they would offer top-of-the-line GPUs...

 

WITH THE NEW MAC PRO THEY FINALLY DID!  (But you bend over for it.)

Reply

You know, for a company that specializes in the video-graphics market, you'd think that they would offer top-of-the-line GPUs...

 

WITH THE NEW MAC PRO THEY FINALLY DID!  (But you bend over for it.)

Reply
post #12 of 153
Quote:
Originally Posted by ayani1 View Post

The iphone 5c could have been popular if they made them in colored metal like the touch. Plastic seems too synonymous with cheap.

And reception antennas go where? Remember that the first iPhone had an aluminum back but also a pretty large plastic area for the antennas. With the current different bands inside the iPhone, that plastic area would be even bigger.

post #13 of 153

Apple once sold the iMac for £595 here in the UK.  inc VAT.

 

Even that wasn't as 'cheap' as some desktops are now at £399.

 

It shows Apple can make quality products at lower prices.

 

Now that they have the volume...it seems more about Shareholders than Customers in some ways.

 

Lemon Bon Bon.

You know, for a company that specializes in the video-graphics market, you'd think that they would offer top-of-the-line GPUs...

 

WITH THE NEW MAC PRO THEY FINALLY DID!  (But you bend over for it.)

Reply

You know, for a company that specializes in the video-graphics market, you'd think that they would offer top-of-the-line GPUs...

 

WITH THE NEW MAC PRO THEY FINALLY DID!  (But you bend over for it.)

Reply
post #14 of 153

Apple have tried to pad their margins with the 5C in my view.  £465 is it?  

 

Lop one hundred off and you're talking for a 'year old' phone.  If they can make the 4S at £350 then Apple CAN make a £350 phone.

 

It would fly at those prices.  And take the fight to Android and still make a decent profit.

 

There just isn't enough difference to not warrant going for the extra for the 5S which is a far superior product.

 

Lemon Bon Bon.

You know, for a company that specializes in the video-graphics market, you'd think that they would offer top-of-the-line GPUs...

 

WITH THE NEW MAC PRO THEY FINALLY DID!  (But you bend over for it.)

Reply

You know, for a company that specializes in the video-graphics market, you'd think that they would offer top-of-the-line GPUs...

 

WITH THE NEW MAC PRO THEY FINALLY DID!  (But you bend over for it.)

Reply
post #15 of 153
Quote:
Originally Posted by Lemon Bon Bon. View Post

I don't mind plastic.  It's quality plastic.  It is a quality product.

Logically, they'd can the iPod Touch and just add a phone receiver and price it for another £100 at the low end and another £150-ish at the high end.  Children and teens would have a great phone...in alu colours.  The 5C is in some ways bemusing.

The iPod touch is the best designed mobile product they have.  It's slim, beautiful and trumps even the 5S design.  The Touch is light and curved alu back.  For me, it's a far better design.  

You'd have phones in the £200-£350 range.

How much would it cost to add a phone receiver to the iPod Touch?  No, seriously, I'm asking.  Anyone know?

Lemon Bon Bon.

The issue with trying to add antennas to the touch is that you need space.

Space for the antennas and sim tray obviously, but more important space for a bigger battery to keep a constant connection to a cellular network, which i guess is why we are left with the 5s design.
post #16 of 153
WSJ. Enough said. A tiny bit better than Digitimes. Anything sourced from this is not worth a discussion IMO.
post #17 of 153
I've seen a few 5Cs in the wild now. A friend of a friend bought a blue model.

I was looking at it yesterday and I really can't bring myself to like it.

It looks and feels cheap, considering nowadays you can get an HTC One for the same price as the 5C.
post #18 of 153
Quote:
Originally Posted by MazeCookie View Post
 

This is a lot of peoples argument against the 5c, but it has no backbone.

 

Nobody complained about the 4S when the 5 was around. There was a $100 difference then. If you were buying a new upgrade, it makes sense for $100 to get the latest.

 

Oh, and it was the same with the previous generation, and generation before that, and generation before that.

 

Only now people are complaining about price. Why? Because loser analysts started a rumour that it was going to be radically cheaper. They were wrong. Yet people still talk about price. Pretty ridiculous, really.

 

The only comparisons people should make are what is different. The iPhone 5c takes what would of been the iPhone 5's spot (mid tier). The iPhone 5c comes in 5 coloured plastics, it has a slightly better battery and supports many, many more 4G base bands. So Apple has upgraded the 5, for free, as it is the same price as what the 5 would of been.

 

/rant

True but the 4s had the same glass and aluminium construction, the 5c has a cheaper plastic case. It should be cheaper.

iPad, Macbook Pro, iPhone, heck I even have iLife! :-)
Reply
iPad, Macbook Pro, iPhone, heck I even have iLife! :-)
Reply
post #19 of 153
Apple may have some difficulty determining why the 5c has not sold as well as expected. The plastic, the price, the marketing that it was just a 5 with color (it's not).

I do think that the 5c may have contributed to the 5s success, assuming the numbers are good. It was the contrast between the two that spurred sales of the 5s, it can be argued. But that is speculation at this point. Is it possible to decide?
post #20 of 153
Quote:
Originally Posted by MazeCookie View Post

This is a lot of peoples argument against the 5c, but it has no backbone.

Nobody complained about the 4S when the 5 was around. There was a $100 difference then. If you were buying a new upgrade, it makes sense for $100 to get the latest.

Oh, and it was the same with the previous generation, and generation before that, and generation before that.

Only now people are complaining about price. Why? Because loser analysts started a rumour that it was going to be radically cheaper. They were wrong. Yet people still talk about price. Pretty ridiculous, really.

The only comparisons people should make are what is different. The iPhone 5c takes what would of been the iPhone 5's spot (mid tier). The iPhone 5c comes in 5 coloured plastics, it has a slightly better battery and supports many, many more 4G base bands. So Apple has upgraded the 5, for free, as it is the same price as what the 5 would of been.

/rant

The problem with this reasoning is simple - it doesn't explain why Apple didn't continue with the old strategy and created two models. Despite what you say the two models strategy is not the same at all - for instance the iPhone 5C will be updated as long as the 5S is with new OS releases. As the release is the same year.

Clearly apple expected higher sales from this, hence the cut in orders. Would orders have to be cut were the iPhone 5 C $200 cheaper than the 5S. Probably not.

If the high price of the 5C is driving higher than expected 5S sales apple will be happy enough for now, for Christmas and Chinese New Years. They can offer discounts in
Feb.

However unless these reports are wrong Apple miscalculated, and having too much inventory in the Channel is not a good thing.

Why did they miscalculate? That should be the question as it seems critics of the price were correct.
Edited by asdasd - 10/16/13 at 4:35am
I wanted dsadsa bit it was taken.
Reply
I wanted dsadsa bit it was taken.
Reply
post #21 of 153
Quote:
Originally Posted by waldobushman View Post

Apple may have some difficulty determining why the 5c has not sold as well as expected. The plastic, the price, the marketing that it was just a 5 with color (it's not).

I do think that the 5c may have contributed to the 5s success, assuming the numbers are good. It was the contrast between the two that spurred sales of the 5s, it can be argued. But that is speculation at this point. Is it possible to decide?

 

It could be interpreted as a bit of cynical move. Put the same guts in a new shell and call it the best thing since whatever. That was certainly my first thought. Struck me as a bit of a piss take.

post #22 of 153
Quote:
Originally Posted by Lemon Bon Bon. View Post

I don't mind plastic.  It's quality plastic.  It is a quality product.

Logically, they'd can the iPod Touch and just add a phone receiver and price it for another £100 at the low end and another £150-ish at the high end.  Children and teens would have a great phone...in alu colours.  The 5C is in some ways bemusing.

The iPod touch is the best designed mobile product they have.  It's slim, beautiful and trumps even the 5S design.  The Touch is light and curved alu back.  For me, it's a far better design.  

You'd have phones in the £200-£350 range.

How much would it cost to add a phone receiver to the iPod Touch?  No, seriously, I'm asking.  Anyone know?

Lemon Bon Bon.

Firstly you are right about the touch. It is fantastic. Extremely light. Looks great.

To add a 3G radio chip needs a bigger battery which needs a redesign of the chassis as would the new antenna. So not so easy.
Edited by asdasd - 10/16/13 at 4:33am
I wanted dsadsa bit it was taken.
Reply
I wanted dsadsa bit it was taken.
Reply
post #23 of 153
Quote:
Originally Posted by Entropys View Post

I suspect apple is heartbroken if people are prepared to pay for a higher margin product. Heartbroken.

That said, is the 5C selling as well as a 4S a year ago? Or better?

Is this carry on just a short seller strategy?

Pretty sure the 32gb iPhone C has the highest margin of the bunch, so if people choose the S instead, that's going to impact their bottom line.
post #24 of 153
Quote:
Originally Posted by asdasd View Post


The problem with this reasoning is simple - it doesn't explain why Apple didn't continue with the old strategy and created two models. Despite what you say the two models strategy is not the same at all - for instance the iPhone 5S will be updated as long as the 5S is with new OS releases. As the release is the same year.

Clearly apple expected higher sales from this, hence the cut in orders. Would orders have to be cut were the iPhone 5 C $200 cheaper than the 5S. Probably not.

If the high price of the 5C is driving higher than expected 5S sales apple will be happy enough for now, for Christmas and Chinese New Years. They can offer discounts in
Feb.

However unless these reports are wrong Apple miscalculated, and having too much inventory in the Channel is not a good thing.

Why did they miscalculate? That should be the question bug it seems critics if the price were correct v

"The problem with this reasoning is simple - it doesn't explain why Apple didn't continue with the old strategy and created two models. Despite what you say the two models strategy is not the same at all - for instance the iPhone 5S will be updated as long as the 5S is with new OS releases. As the release is the same year."

They did.

They just wanted to say the new phone will come in different colours...anything wrong??

"Clearly apple expected higher sales from this, hence the cut in orders. Would orders have to be cut were the iPhone 5 C $200 cheaper than the 5S. Probably not."

It's $99 on contract.

You want them to give you $101 for taking it??Why??It isn't that bad....

post #25 of 153
Quote:
Originally Posted by asdasd View Post


Firstly you are right about the touch. It is fantastic. Extremely light. Looks great.

To add a 3G radio chip needs a bigger battery which needs a redesign of the chassis as would the new antenna. Do not so easy.

Aye.  It's a classy design alright.

 

But design wise it's very similar to the 5C except it's slimmer and in alu.  There's not a massive difference in size...but the touch is more svelte, yes...and it is noticeable.

 

You could argue the iPhone is just a touch with a phone chipset and antenna.

 

The question is.  How much would it cost to add one to the Touch?  If the Touch costs £199 or £250 for the low end or mid range options.

 

Would it cost £150s to add an antenna to the entry model?  Would it cost £100 to add an antenna and phone chipset to the mid range model?

 

I'm just curious.  How much do these parts cost.

 

Obviously, Apple isn't going to make a £99 phone and make any money out of it?  But with the debate being about the iPhone 5C being price contentious in plastic at that...how much of a discount could Apple make?

 

Remember when Steve Jobs dropped the price of the original iPhone?

 

Perhaps by lopping off £100 off the UK price would make a huge difference.  £350 isn't cheap.  But it's far more reasonable than £465 for last year's phone.

 

...if they can make a 4S at £350 why not the 5C?

 

I guess if they bring out the 'Maxi' iPhone next year...I wonder if it will push the 5C and 5S into more affordable price brackets?

 

The 5C in a year's time may look a far better deal if they keep the spec but drop it into the 4S position at £350?

 

Lemon Bon Bon.

You know, for a company that specializes in the video-graphics market, you'd think that they would offer top-of-the-line GPUs...

 

WITH THE NEW MAC PRO THEY FINALLY DID!  (But you bend over for it.)

Reply

You know, for a company that specializes in the video-graphics market, you'd think that they would offer top-of-the-line GPUs...

 

WITH THE NEW MAC PRO THEY FINALLY DID!  (But you bend over for it.)

Reply
post #26 of 153
Why would anyone read a WSJ piece on Apple? Seriously, think about it: this is the Wall Street Journal ‘reporting’ on AAPL.
post #27 of 153
post #28 of 153
The price of 5c is not right.

Personally I dislike the front face in black. I would love if it had the same color as the back, making it with just one tone.
post #29 of 153
Quote:
Originally Posted by Mavericks View Post

The price of 5c is not right.

Personally I dislike the front face in black. I would love if it had the same color as the back, making it with just one tone.

that would look ugly..

seriously I don't think even apple can make something like THAT look nice.

just my opinion

post #30 of 153
Quote:
Originally Posted by matrix07 View Post

WSJ. Enough said. A tiny bit better than Digitimes. Anything sourced from this is not worth a discussion IMO.

The same Wall Street Journal that reported in January that Apple was cutting iPhone 5 production because of weak demand. How'd that story turn out (other than driving Apple's stock price down). This always happens when we get close to an earnings call.
post #31 of 153
They should have either gave it the 64 bit SoC or made it another $100 bucks cheaper. I would have gone the 64bit route.
post #32 of 153
Anyone remember this from January? Also from the WSJ.

Apple Cuts Orders for iPhone Parts

So far none of these rumors have negatively impacted the stock. Even today the stock is up a bit in pre market trading. Even if this WSJ story is true we don't know if it's because of weak sales or something Apple planned all along. Maybe there's plenty of 5C in the channel to meet demand so they're switching production to the 5S. Or maybe there were supply constraints with the 5S that no longer exist so they're ramping up production of that to meet demand. We don't know. And posing umpteen articles about it doesn't make any sense because there's no new information to add to the conversation.
Edited by Rogifan - 10/16/13 at 5:12am
post #33 of 153
Quote:
Originally Posted by bananaman View Post

"The problem with this reasoning is simple - it doesn't explain why Apple didn't continue with the old strategy and created two models. Despite what you say the two models strategy is not the same at all - for instance the iPhone 5S will be updated as long as the 5S is with new OS releases. As the release is the same year."
They did.
They just wanted to say the new phone will come in different colours...anything wrong??
"Clearly apple expected higher sales from this, hence the cut in orders. Would orders have to be cut were the iPhone 5 C $200 cheaper than the 5S. Probably not."
It's $99 on contract.
You want them to give you $101 for taking it??Why??It isn't that bad....

I have no idea what you are doing here. You quoted my entire post then used your own quoting system and even allowing for that its still unreadable and/or nonsensical. The iPhone 5C does not sell for $99 - the contract price is not the price of the device.
I wanted dsadsa bit it was taken.
Reply
I wanted dsadsa bit it was taken.
Reply
post #34 of 153
Now people dont hang yourself on the numbers they are just for demo purposes to quantify instead of looking at percentages that dont say much:

But apple could have sold 3M 5S units and 9 million 5C units instead of 2,5M 5S units and 1M 5C units (per time sequence). That is if Apple had decided it was happy with the same margin as iphone 5 and not increase their margin like they did. Now many just bought the Samsung galaxy line of products to save 100-200 Euros. That is just a fact at least here in Europe.

Only Apple tech gets more valuable as time passes...
post #35 of 153
Quote:
Originally Posted by djsherly View Post
 

 

This reasoning is just as made up as any 'analysts'. 

 

What it says is that Apple quite happily developed tooling for, and produced, millions of 5Cs so that it would sit on shelves and entice people to buy the 5S instead. Seriously?

 

What it also says it that there is little reason to buy the 5C. Which is evidently true if the newspaper is to be believed and production is being cut back.

 

BTW, the touch id is pretty cool, but I find it's rejecting my fingerprints more often after a week or so of use. Initially it was spot on.

 

"This reasoning is just as made up as any 'analysts'."  

 

Err No. You obviously don't know how retailing, especially premium products, are marketed and sold. Why do you think BMW, Mercedes, Audi, Porsche, Ferrari etc. all have more affordable models? It's to entice would be customers into their showrooms, with the objective of moving the customers to the more upmarket Models....LOL

 

"What it says is that Apple quite happily developed tooling for, and produced, millions of 5Cs so that it would sit on shelves and entice people to buy the 5S instead. Seriously?"

 

Yes, of course, very seriously. According to Canaccord Genuity's survey of the 4 largest US carriers, BOTH the iPhone 5S and 5C are outselling the the Galaxy S4.

 

Are you seriously suggesting that Apple should not make and sell 5C model, which OUTSELLS their main competitor's best selling model?....LOL

 

The fact is that Apple make a far higher margins on the 5C  than Samsung's makes on the Galaxy S4. In September Samsung had to start heavily discounting the Galaxy S4 in order to try and compete (unsuccessfully) with the new iPhones.

 

If Apple is selling 2 to 3 times more of their flagship, state of the art 5S than the 5C, then that means altogether Apple's nrew model iPhones are outselling their main rival Galaxy S4 by 3 or 4 times. - Yep that really is a lousy strategy  NOT.

post #36 of 153
Quote:
Originally Posted by ssls6 View Post

They should have either gave it the 64 bit SoC or made it another $100 bucks cheaper. I would have gone the 64bit route.

 

Ok so say its $200 cheaper and you pay $50/mo for your phone (likely more).  

5S 24 months:  $1399  (199 on contract)

5C 24 months:  $1200 (free on contract)

 

Ignoring aluminum vs plastic, look at what that %15 increase gets you:

  • Much improved low light camera with two-tone LED flash
  • Slow motion video (oh man is this fun)
  • 64-bit CPU 2x perf over 5C
  • New GPU 2x perf over 5C
  • M7
  • TouchID

 

 

Why not pop for the badass model?  I think to make the 5C attractive they need to push the price even lower for off-contract or for countries where phones are not subsidized. 

Doodle Dice iPhone puzzle game: A fun, free physics-laden collection of dice games.  Greatest app made yet?  Perhaps young man... Perhaps.
Reply
Doodle Dice iPhone puzzle game: A fun, free physics-laden collection of dice games.  Greatest app made yet?  Perhaps young man... Perhaps.
Reply
post #37 of 153
Quote:
Originally Posted by Secular Investor View Post
 

 

"This reasoning is just as made up as any 'analysts'."  

 

Err No. You obviously don't know how retailing, especially premium products, are marketed and sold. Why do you think BMW, Mercedes, Audi, Porsche, Ferrari etc. all have more affordable models? It's to entice would be customers into their showrooms, with the objective of moving the customers to the more upmarket Models....LOL

 

"What it says is that Apple quite happily developed tooling for, and produced, millions of 5Cs so that it would sit on shelves and entice people to buy the 5S instead. Seriously?"

 

Yes, of course, very seriously. According to Canaccord Genuity's survey of the 4 largest US carriers, BOTH the iPhone 5S and 5C are outselling the the Galaxy S4.

 

Are you seriously suggesting that Apple should not make and sell 5C model, which OUTSELLS their main competitor's best selling model?....LOL

 

The fact is that Apple make a far higher margins on the 5C  than Samsung's makes on the Galaxy S4. In September Samsung had to start heavily discounting the Galaxy S4 in order to try and compete (unsuccessfully) with the new iPhones.

 

If Apple is selling 2 to 3 times more of their flagship, state of the art 5S than the 5C, then that means altogether Apple's nrew model iPhones are outselling their main rival Galaxy S4 by 3 or 4 times. - Yep that really is a lousy strategy  NOT.

Hey, I've got no problems about the 5C selling well. If you believe the reports it's not selling nearly as well as expected. Hence production being cut back.

 

The only issue I have is with the reasoning you offered. There's zero reason why Apple introduced what is essentially a new product line as a draw to sell the premium model. Clearly Apple thought this model would squeeze gangbusters sales from old hardware. It seems the reality is not the case. Otherwise they would have done the same thing they did last year and repackage last year's model, in the same form factor, with a fixed capacity.

 

I still submit your reasoning is flawed. Apple doesn't display its feathers as an inducement to buy another of its products instead. It wants you to buy as many of whatever it is offering as possible.

 

http://uk.reuters.com/article/2013/10/16/uk-apple-5c-idUKBRE99F08K20131016

 

http://www.smh.com.au/digital-life/mobiles/australian-telcos-struggle-to-sell-iphone-5c-20130924-2ubc5.html

 

http://www.cnbc.com/id/101110056

 

http://www.forbes.com/sites/timworstall/2013/10/15/apparently-apples-iphone-5c-is-a-failure-already/

 

Disappointing is a relative term but from reports it seems pretty clear that sales have not met expectations.

post #38 of 153
In the Apple online store for the USA I see the following:
- 4s: All options available to ship in 24 hours
- 5c: All options available to ship in 24 hours
- 5s: All options available to ship in 2 - 3 weeks

If these shipping times apply to other markets, then, yeah, Apple probably wants to shift production to make more of the 5s. Duh.
post #39 of 153
Just because everyone is reporting the same rumor doesn't make the rumor true. The media, especially when it comes to Apple is a bit of an echo chamber. Especially if the rumors are negative, they fall over each other to be the first to report it.
post #40 of 153
Yeah, everybody has different tastes man.
New Posts  All Forums:Forum Nav:
  Return Home
  Back to Forum: iPhone
  • Apple reportedly cutting iPhone 5c orders as it boosts 5s production [u]
AppleInsider › Forums › Mobile › iPhone › Apple reportedly cutting iPhone 5c orders as it boosts 5s production [u]