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Rumor: Major Foxconn factory to cease iPhone 5c production, focus on Apple's iPhone 5s

post #1 of 59
Thread Starter 
Foxconn's major factory in the city of Zhengzhou in northern China will allegedly cease production of Apple's plastic-backed iPhone 5c, according to a new report, in order to focus on producing the more popular flagship iPhone 5s.



Taiwanese publication DigiTimes was just the latest news outlet to claim in a new report on Monday that production of the iPhone 5c is being shifted. The report, which cited unnamed "industry sources," suggested that Foxconn will not entirely cease production of the iPhone 5c, but that its weekly output will be slightly reduced.

Foxconn is said to handle about 30 percent of orders for Apple's iPhone 5c, with manufacturing partner Pegatron Technology handling the remaining 70 percent. Recent reports have also suggested that Pegatron saw its orders for the iPhone 5c cut since the device debuted in September.

Monday's rumor suggests that Foxconn's massive factory in Zhengzhou, which home to some 120,000 employees, will no longer produce Apple's mid-range iPhone 5c.

Earlier reports from American publications cited factors such as "weak sales" and "less-than-stellar sales" as prompting Apple to reduce orders for the iPhone 5c. The company does not break down sales figures for its handset business on a model-by-model basis.

This year marks the first time Apple has opted to introduce two new iPhone models. The iPhone 5c has generally the same parts as last year's iPhone 5, but comes in a new plastic casing available in an array of colors.

It's differentiated from the company's new flagship aluminum iPhone 5s, which exclusively sports the Touch ID fingerprint sensor for secure access. Some market watchers have predicted that Apple's iPhone 5c will find greater success in the long-term, as early adopters are more likely to opt for the high-end device featuring Touch ID and the 64-bit A7 processor.
post #2 of 59
The standards of this site are pretty depressing, running to publish every single digitimes rumor and helping to spread the negative FUD, kmowing digitimes pitiful track record. It's so, so sad. Have some damn self respect, and some damn standards.
post #3 of 59
Quote:
Originally Posted by Slurpy View Post

The standards of this site are pretty depressing, running to publish every single digitimes rumor and helping to spread the negative FUD, kmowing digitimes pitiful track record. It's so, so sad. Have some damn self respect, and some damn standards.


But, but, but...they have a hot Chairman ¡

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post #4 of 59
Quote:
Originally Posted by Slurpy View Post

The standards of this site are pretty depressing, running to publish every single digitimes rumor and helping to spread the negative FUD, kmowing digitimes pitiful track record. It's so, so sad. Have some damn self respect, and some damn standards.
Yeah it's pretty pathetic. No Apple rumor site should ever quote digitimes for anything. Sigh.
post #5 of 59

It's amazing how much crap is being thrown at 5c, forcibly trying to prove right false initial prediction that 5c is Apple's failure. Only a moron doesn't understand that 5c is Apple's major success whether it sells more or less than more expensive 5s...

post #6 of 59
Sounds like Apple is just letting Foxconn handle the 5S and Pegatron handles the 5C. Well, that makes sense. I don't see what the problem is. I wouldn't expect the 5C to sell as well as the 5S. Apple typically sells more of their top of the line models of iPhones as the older models ramp down in demand.
post #7 of 59
post #8 of 59
Quote:
Originally Posted by drblank View Post

Sounds like Apple is just letting Foxconn handle the 5S and Pegatron handles the 5C. Well, that makes sense. I don't see what the problem is. I wouldn't expect the 5C to sell as well as the 5S. Apple typically sells more of their top of the line models of iPhones as the older models ramp down in demand.
The funny thing is the stories have done nothing to Apple's stock price. The only people that seem to care about this are concern trolls, the Henry Blodgets of the world that write about it because it's good click bait and drives traffic to his site.
post #9 of 59
Quote:
Originally Posted by Rogifan View Post

How about AI reporting on this instead:

http://tech.fortune.cnn.com/2013/11/18/apple-android-tv-stick/?source=yahoo_quote

 

I actually seem to remember a report on this. Might have been that DED article on white box tablets. Too lazy to search for it right now.

post #10 of 59
5C is a good phone but pricing is way off. Why the hell would I even want to buy 5C when I cash in 100$ more and I get a lot more of a phone? If 5C would be half or even 3rd the price of 5S then I guess this would be selling much better as it is currently. I mean it's not a huge difference in price when one costs 549$ and other is 649$ and offers a lot more. No brainier to me!
post #11 of 59
Quote:
Originally Posted by Jume View Post

5C is a good phone but pricing is way off. Why the hell would I even want to buy 5C when I cash in 100$ more and I get a lot more of a phone? If 5C would be half or even 3rd the price of 5S then I guess this would be selling much better as it is currently. I mean it's not a huge difference in price when one costs 549$ and other is 649$ and offers a lot more. No brainier to me!
But Apple's business model has always been to mark down current phone $100 when new phone comes out. Were people complaining that the 4S was too expensive when the 5 came out? If Apple had kept the 5 and dropped the price $100 would people say it's too expensive for what you get? Or is it all just because the 5C chassis is plastic and not aluminum?
post #12 of 59
Quote:
Originally Posted by Rogifan View Post


But Apple's business model has always been to mark down current phone $100 when new phone comes out. Were people complaining that the 4S was too expensive when the 5 came out? If Apple had kept the 5 and dropped the price $100 would people say it's too expensive for what you get? Or is it all just because the 5C chassis is plastic and not aluminum?


Well didn't understand that pricing scheme as well, but mostly I didn't think about it because I thought nobody is buying that anyway... Now the 5C phone is not just an 'old' phone. It's a neat looking NEW device that might be attracted to lots of (new) people. Sure I guess it's worth the money it's sold for, but I think they would sell way more if the price was like 150-200$ off. If nothing else I would bought 1 for my sister and one for my girlfriend :).

post #13 of 59
I've actually not seen a single iPhone 5C yet out in the street in Hong Kong. 5S's are very popular here but that's probably because the demographic for new and top of the line phones and gadgets are more commonplace.
post #14 of 59
ridiculos
post #15 of 59

STOP POSTING DIGITIMES LIES AND SLANDER.

post #16 of 59
Quote:
Originally Posted by Jume View Post

...but I think they would sell way more if the price was like 150-200$ off.

Well, yeah, pretty much anything that is made significantly less expensive will appeal to more buyers, but in no way does that mean that it's not priced appropriately for its market.
post #17 of 59
Quote:
Originally Posted by akqies View Post

Well, yeah, pretty much anything that is made significantly less expensive will appeal to more buyers, but in no way does that mean that it's not priced appropriately for its market.

While you are correct, the issue is that Apple still doesn't have a product for the off-contract market.

I think the 5c was uniquely placed to be that product (considering how much of a jump the 5s is over the 5c) and I am surprised Apple did not take that opportunity.
post #18 of 59
Quote:
Originally Posted by Jume View Post

5C is a good phone but pricing is way off. Why the hell would I even want to buy 5C when I cash in 100$ more and I get a lot more of a phone? If 5C would be half or even 3rd the price of 5S then I guess this would be selling much better as it is currently. I mean it's not a huge difference in price when one costs 549$ and other is 649$ and offers a lot more. No brainier to me!

Again you are confusing what you want with what apple wants. Selling a lot of 5c is not their goal. They would much rather sell a lot of 5s than 5c, which is what is happening currently.

 

What you need to consider is, would you rather buy a Galaxy S4 or an iPhone 5c? Both cost the same, both have plastic backs, and 5c performs much better. 5c is designed to take away a portion of the high-end android sales of non-techie users (because techie android users tend to be the fanatic android fanboys). I think it is succeeding in that.

post #19 of 59
Quote:
Originally Posted by addicted44 View Post

While you are correct, the issue is that Apple still doesn't have a product for the off-contract market.

I think the 5c was uniquely placed to be that product (considering how much of a jump the 5s is over the 5c) and I am surprised Apple did not take that opportunity.

What surprises me is the 5C wasn't a repackaged 4S in a plastic case and with a larger display so they could eschew the last remaining 3.5" display from their lineup. I was surprised when the 4S remained and the 5 was replaced.

I personally wouldn't go for the 5C but I also wouldn't go for a previous gen iPhone that had dropped by $100. Whomever these buyers are they are not the same people that care about getting the latest tech so we shouldn't expect 5C sales to be anywhere close to the demand for the flagship device.
post #20 of 59

I still say, wait until after the holiday buying season ends and then draw some conclusions. It appears as if the 5C is pretty simple to assemble compared to the 5 and 5S. So its most likely a lot easier to build a bunch and get some inventory than it is the 5S. 

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post #21 of 59
Consumers have spoken. They want TO SPEND MORE ON APPLE IPHONES. They want more expensive iPhones, not cheaper iPhones.
post #22 of 59
Quote:
Originally Posted by iamnemani View Post
 

Again you are confusing what you want with what apple wants. Selling a lot of 5c is not their goal. They would much rather sell a lot of 5s than 5c, which is what is happening currently.

 

What you need to consider is, would you rather buy a Galaxy S4 or an iPhone 5c? Both cost the same, both have plastic backs, and 5c performs much better. 5c is designed to take away a portion of the high-end android sales of non-techie users (because techie android users tend to be the fanatic android fanboys). I think it is succeeding in that.

 

Yes I know that, but looking at the over-stock problems that Apple has with 5C, I see they would more then love to sell much more of 5C's.

 

Agree on your 5C vs Samsung thing, but it's not working. Would work if the 5C was cheaper then Samsung Galaxy. I don't think 5C appeals to S3 or S4 users... 5C most likely appeals to all other android devices, but looks like not much as the pricing is not right on 5C. The one who will switch from S3/S4 will for sure go for iPhone 5S, but even that is not likely because of the small screen. I have seen more iPhones users switch from iPhones to Samsung these days just because of the big screen...

 

Anyway I'm not switching anywhere. Just saying Apple has a tough competition these days and should be working more aggressively. They are good at earning profits for sure, but as a consumer I see their updates more for building up their profit margins then doing good for us.

post #23 of 59
Quote:
Originally Posted by Jume View Post
 

 

Yes I know that, but looking at the over-stock problems that Apple has with 5C, I see they would more then love to sell much more of 5C's.

 

Agree on your 5C vs Samsung thing, but it's not working. Would work if the 5C was cheaper then Samsung Galaxy. I don't think 5C appeals to S3 or S4 users... 5C most likely appeals to all other android devices, but looks like not much as the pricing is not right on 5C. The one who will switch from S3/S4 will for sure go for iPhone 5S, but even that is not likely because of the small screen. I have seen more iPhones users switch from iPhones to Samsung these days just because of the big screen...

 

Anyway I'm not switching anywhere. Just saying Apple has a tough competition these days and should be working more aggressively. They are good at earning profits for sure, but as a consumer I see their updates more for building up their profit margins then doing good for us.

 

How do you know they actually have overstock issues? Basing this on facts from where? 

 

Did it ever occur that maybe Apple developed this phone as just another choice. Its not going to sell as much as the 5S.

 

Does the iPad Nano sell as much as the iPod Touch? Why doesn't anyone ever bitch about this, or why didn't they bitch about this in the past before the iPhone?


Edited by macxpress - 11/18/13 at 7:43am

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post #24 of 59
Quote:
Originally Posted by sog35 View Post
 

STOP POSTING DIGITIMES LIES AND SLANDER.

Stop wasting your time. Your input will not affect what Appleinsider posts. Do you think you have any influence ... at all?

post #25 of 59
Quote:
Originally Posted by addicted44 View Post


While you are correct, the issue is that Apple still doesn't have a product for the off-contract market.

 

 

Of course they do. 

post #26 of 59

What Digitimes is saying is news to our Apple investment community, and is valid subject matter for AppleInsider.

 

This is also another information morsel in the 5c versus 5s sales story, which runs to much more basic intel than simply whether a specific product is "making it."  I'm sure that the team at Apple is watching and learning a great deal from their trial balloon in this two-tiered iPhone thing.

 

I do wish the headline had been more neutral.  Foxconn is shifting capacity from 5c to 5s I suspect.  I doubt that it started with cutting back on 5c, then somebody looking around for something to do.

 

For all we know, Apple is giving up some desirable 5c capacity to meet higher than expected 5s demand.  Their evaluation may be that they can push the market toward the 5s more than their initial conservative evaluation suggested.

post #27 of 59
I was in a Verizon store about a week after the iPhone launch and there were 20 people in the store. The 5s was sold out, but the 5c was available. Not a single one of the 20 people were looking at the 5c. That's a small sample and could mean nothing, but there was zero interest in the 5c when I was there. This was in San Diego, CA.
post #28 of 59
Quote:
Originally Posted by Jume View Post
 


Well didn't understand that pricing scheme as well, but mostly I didn't think about it because I thought nobody is buying that anyway... Now the 5C phone is not just an 'old' phone. It's a neat looking NEW device that might be attracted to lots of (new) people. Sure I guess it's worth the money it's sold for, but I think they would sell way more if the price was like 150-200$ off. If nothing else I would bought 1 for my sister and one for my girlfriend :).

 

 

I bet Porshe would sell a lot more Cayennes if only it dropped the price from around $80, 000 down to about $15, 000. It would be out of business shortly thereafter, but hey it sold a lot of vehicles. 

 

Apple makes about 35 percent margins on its products including on the iPhone 5C. So that means the profit on a $550 iPhone 5C is about $190 dollars. You can see knocking $200 off would put Apple out of business. 

post #29 of 59
The iPhone is a phenomenon. It's a premium product that sells to the masses, yet continues to hold its cachét. (Kind of like Burberry, strangely). Maybe there is room at the top for a limited production super-premium iPhone? Or would that screw things up for this phenomenon?
Edited by Robin Huber - 11/18/13 at 9:06am
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post #30 of 59
Quote:
Originally Posted by Jume View Post

5C is a good phone but pricing is way off. Why the hell would I even want to buy 5C when I cash in 100$ more and I get a lot more of a phone? If 5C would be half or even 3rd the price of 5S then I guess this would be selling much better as it is currently. I mean it's not a huge difference in price when one costs 549$ and other is 649$ and offers a lot more. No brainier to me!

 

You will get your wish in 2014 when the 5C is the 3rd tier phone.

 

5C - $450

5CS - $550 (5S in plastic case)

6 - $650

 

Apple never rushes product launches.  This is an amazing move to have their 2nd and 3rd tier be plastic phones which are easy and cheap to produce.

 

Apple's whole plan was to limit canibalization of their flagship but still give people options at the $450-$550 level.  So far it looks like its working like a charm.

post #31 of 59
All the analysts and pundits are WRONG. CONSUMERS WANT MORE EXPENSIVE IPHONES, not cheaper ones. They definitely don't want junk-price iPhones.

And the demand for EXPENSIVE IPHONES is off the charts.
post #32 of 59
Originally Posted by Jume View Post
5C is a good phone but pricing is way off.

 

Prove it.

 
Why the hell would I even want to buy 5C when I cash in 100$ more and I get a lot more of a phone?

 

Then the phone isn’t being marketed to you.

 
If 5C would be half or even 3rd the price of 5S then I guess this would be selling much better as it is currently.

 

And if Apple paid YOU to take it off their hands, it would sell even better. But hey, that’s just as dumb an idea.

 

Originally Posted by Jume View Post
Sure I guess its worth the money its sold for

 

Make up your mind.

 

Originally Posted by addicted44 View Post
the issue is that Apple still doesnt have a product for the off-contract market.

 

They’ve had one for about three years now.

 

Originally Posted by stynkfysh View Post
Not a single one of the 20 people were looking at the 5c. Thats a small sample and could mean nothing

 

It does mean nothing.

Originally Posted by Slurpy

There's just a TINY chance that Apple will also be able to figure out payments. Oh wait, they did already… …and you’re already f*ed.

 

Reply

Originally Posted by Slurpy

There's just a TINY chance that Apple will also be able to figure out payments. Oh wait, they did already… …and you’re already f*ed.

 

Reply
post #33 of 59

By itself, it means nothing.  Combined with no one I know buying or interested in the 5c, Craigslist sale prices of the 5c at $300 for reputible sellers (have local phone number in posts), and repeated rumors of reduced production of the 5c forms a pattern of low demand for the 5c.  Still not conclusive, but seems like a credible possiblity.

post #34 of 59

Ok guys I'm giving up. Look's like you'all just experts here. I'm just saying from what I see and what I read. I have seen 0 people with iPhone 5C's in hand, while I have seen hundreeds with iPhone 5S. I guess there would be the same as if 5C never existed. Nobody wants it and that's a fact!

 

I gave Apple a lot of money in my 15+years of being a Apple user. I owned/own a lot of macs, iPhones, iPads nad iPods during these years. There was/is planty of users like me. That's why Apple today is the single most rich company on this planet. And they deserve it. They make the best products out there.

 

But competition is closing up. Look guys don't be blind as Apple once was and lost almost everything because of it. Some android phones are as good as Apple's, no question about it. Also tablets are getting better and better. Apple doesn't do much to get away, though they could... Mac's are different story, nothing come close if you ask me there.

 

But phones and tablets... well for me iPhone and iPad still beats'em all. But there are certain things which apple keeps ignoring. One is a larger screen iPhone (4.5-5max). I want a bigger screen on my phone. I don't want a 'phablet' I just want a bigger screen.

 

Then there is the iOS. Why the hell can't apple come up with something good as side-to-side app (like Windows 8 tablet has). That's genius idea. Why do I have to switch between 2 or even 3 apps every few seconds when I want to get some real work done on my iPad? I would love to have side-by-side app functionality. Would save tons of many and frustration... and there's more.

 

I am just saying that apple does gr8 product. I love to pay for what they do. But sometimes and it looks like these days this is getting more and more obvious ther are just blind and stupid not to do something that would be really good for consumer. Why do we always have to listen to Apple what is good and what is not?

post #35 of 59
Quote:
Originally Posted by Brian Ward View Post
 

By itself, it means nothing.  Combined with no one I know buying or interested in the 5c, Craigslist sale prices of the 5c at $300 for reputible sellers (have local phone number in posts), and repeated rumors of reduced production of the 5c forms a pattern of low demand for the 5c.  Still not conclusive, but seems like a credible possiblity.


Yeah that's what I am talking about... Jst go to apple store. There's zillion people in there but the iPhone 5C tables are empty. The phone's a flop at this pricing scheme and I am sure at the end of Q1 or Q2 we'll get the numbers and the next keynote, someone of the top execs will say 'We were wrong about this and here's the new thing we are offering'

post #36 of 59
Quote:
Originally Posted by Jume View Post
 


Yeah that's what I am talking about... Jst go to apple store. There's zillion people in there but the iPhone 5C tables are empty. The phone's a flop at this pricing scheme and I am sure at the end of Q1 or Q2 we'll get the numbers and the next keynote, someone of the top execs will say 'We were wrong about this and here's the new thing we are offering'

 

I should have also added in my post that used and much older iPhone 5's seem to be commanding higher resale values than the 5c.  That's another indicator :^)

post #37 of 59
Originally Posted by Jume View Post
I have seen 0 people with iPhone 5C's in hand, while I have seen hundreeds with iPhone 5S.

 

Anecdotal evidence is either universally equally admissible or worthless. Which do you want?

 
I guess there would be the same as if 5C never existed. Nobody wants it and that's a fact!

 

Then either prove it or shut up.

 
I gave Apple a lot of money in my 15+years of being a Apple user. I owned/own a lot of macs, iPhones, iPads nad iPods during these years
 

 

No one cares.

 
But competition is closing up.

 

lol.

 
Some android phones are as good as Apple's, no question about it.

 

Yeah, there is question.

 
I don't want a 'phablet' I just want a bigger screen.

 

Pick one sentence.

 
Why the hell can't apple come up with something good as side-to-side app (like Windows 8 tablet has). 
 

 

Probably because it’s a terrible idea. Please read about the neurological effects of “multi-tasking” and then about fundamental UI and UX construction.

 
Why do I have to switch between 2 or even 3 apps every few seconds when I want to get some real work done on my iPad?


Sounds like your problem, not Apple’s. Why can’t you find a single app that does what you need it to do?

Originally Posted by Slurpy

There's just a TINY chance that Apple will also be able to figure out payments. Oh wait, they did already… …and you’re already f*ed.

 

Reply

Originally Posted by Slurpy

There's just a TINY chance that Apple will also be able to figure out payments. Oh wait, they did already… …and you’re already f*ed.

 

Reply
post #38 of 59
Quote:
Originally Posted by Brian Ward View Post
 

 

I should have also added in my post that used and much older iPhone 5's seem to be commanding higher resale values than the 5c.  That's another indicator :^)

 

http://www.telus.com/wireless/catalog/

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post #39 of 59
Quote:
Originally Posted by island hermit View Post
 

 

http://www.telus.com/wireless/catalog/

 

I meant the resell market.  Not what a retail is asking, which is likely constrained by their price and/or where Apple limits the selling price.  I would be curious to know which buyers pick though, between the 5 and 5c.  I would pick the 5 if those were my 2 options.

post #40 of 59
Quote:
Originally Posted by Tallest Skil View Post
 

Sounds like your problem, not Apple’s. Why can’t you find a single app that does what you need it to do?

 

Well from this looks like you never really used your iPad for anything else then showing around and browsing web? First let me tell you that I buy only the best apps out there for the purpose. So let me give you couple of examples:

 

EXAMPLE1:

Someone sends me via email a list of things that I need to add into a document (pages, excel, html or whatever). Yes I use iPad for content creation and quick fixes to my code when I am on the move. In this case I need to switch back and fort between mail and productivity apps if the list is long. And it makes me go crazy. That's one of the things that comes around very often.

 

EXAMPLE2:

I am doing a Skype chat/call or whatever on iPad and a buddy asks me hey do you have a phone number from this and this person. Yes I have wait I have to switch there and back again. God forsake he asks for email or some other detail as well. Switch 5 times to copy paste everything again.

 

EXAMPLE 3:

I am assembling some document together from multiple websites, and/or emails. Well there goes the same story again...

 

I mean I don't need full functionality of side to side apps. Each app could easily have 'striped-down' side view that you could stack up to another app. For example email would be currently opened email. Safari currently opened tab and so on... Windows 8, as much as I hate that crap, handles this very well, and what's the saddest part, is useful! And don't give me crap about performance and other multitasking can-do-cannot-dos. They do it and it works fine! There's tons of other problems why their tablets don't work, but this is one of the brightest sides of their tablets.

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