Apple rumored to be cutting iPhone SE orders following weak demand

Posted:
in iPhone edited March 28
Analyst Ming-Chi Kuo says that Apple's latest iPhone SE is selling less than expected, and other sources say orders are being scaled back as a result.

The Starlight iPhone SE
Starlight iPhone SE


With the exception of adding 5G support, the 2022 iPhone SE has been seen as a minor update. Now it appears that its similarity to the previous model, plus perhaps the global situation with coronavirus lockdowns and Ukraine war, is causing demand to be less than Apple expected.

Shanghai lockdown doesn't affect the iPhone SE production. However, the new iPhone SE demand is lower than expected (the delivery status "in stock" as one of the proofs), and I cut my shipment estimation in 2022 to 15-20M (vs. 25-30M previously).

-- (Ming-Chi Kuo) (@mingchikuo)


Analyst Ming-Chi Kuo's tweet is seemingly based on stock checking at Apple Stores, rather than from industry insiders. However, at the same time Nikkei Asia is claiming that unnamed sources say Apple is to make 20% fewer iPhone SEs in the next quarter.

That's estimated to mean up to three million fewer iPhone SE devices produced. Previously, analysts were all estimating sales of 30 million over its first year on sale.

Ming-Chi Kuo had put 30 million at the top of his predicated range. However, Wedbush analyst Daniel Ives also predicted 30 million, yet cautioned this was "conservative."

Apple is reportedly also lowering iPhone 13 production, but because of expected seasonal changes. AirPods production may also be reduced, though there are no details of which models are affected.

Read on AppleInsider
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Comments

  • Reply 1 of 31
    fafotfafot Posts: 17member
    Same comments every year. 
    CNBC

    Apple reportedly cuts
    orders for iPhones by
    20% due to low demand
    for iPhone 12 mini

    PUBLISHED WED, MAR 10 2021 8:42 AM EST
    UPDATED WED, MAR 10 2021 4:06 PM EST

    It was totally untrue. 
    aderutterJFC_PAlkruppsconosciutoFileMakerFellerentropys
  • Reply 2 of 31
    It’s because they upped the price but didn’t bump the features and design enough. 
    sandor
  • Reply 3 of 31
    I would have bought a SE to switch from my 13 mini (although I like the smaller size of the mini) if it had not been for that same computational photography madness that is now in the SE too. No idea to buy another iPhone which produces horrible pictures in the after processing. Such a disappointment of where Apple has taken photography.
  • Reply 4 of 31
    fred1fred1 Posts: 965member
    If both of these models really do have less than expected demand I tend to think it’s mostly because neither is much of an upgrade.
  • Reply 5 of 31
    I can't really see the appeal of the SE3 unless you are really counting the pennies. The 12 Mini is only an extra $170 and you get so much more. Also, if you can wait until September, the 13 Mini will surely be discounted to the price of the 12 Mini.
    edited March 28 baconstangbyronl
  • Reply 6 of 31
    M68000M68000 Posts: 461member
    opinion said:
    I would have bought a SE to switch from my 13 mini (although I like the smaller size of the mini) if it had not been for that same computational photography madness that is now in the SE too. No idea to buy another iPhone which produces horrible pictures in the after processing. Such a disappointment of where Apple has taken photography.
    If photos are so important to you,  just pick up a dlsr or go mirrorless with a real camera ?
    darkvaderbaconstangapplguyjony0
  • Reply 7 of 31
    M68000M68000 Posts: 461member
    Maybe I’m missing something - but the SE form factor has been in use for a while and the demand is what it is.   It’s great for enterprise customers and price sensitive users.  I don’t think it’s realistic to measure demand of the new model in such a short period of time since the new model has been out.  Who expects people to rush out and upgrade right away?   Not happening for most people.
    muthuk_vanalingamsconosciutobyronl
  • Reply 8 of 31
    If I had an old phone, the SE3 would be the phone. Fingerprint reader, bigger battery. SE2 is still going strong for at least two more years. 

    So many rumors of production cuts, that don’t turn out to be true. If production cuts are true, how do we know it wasn’t preplanned as the SE isn’t going to sell as much as the other phones? Maybe the analysis predicted SE sells are wrong? 
    muthuk_vanalingamsconosciutobyronl
  • Reply 9 of 31
    jcs2305jcs2305 Posts: 1,294member
    fafot said:
    Same comments every year. 
    CNBC

    Apple reportedly cuts
    orders for iPhones by
    20% due to low demand
    for iPhone 12 mini

    PUBLISHED WED, MAR 10 2021 8:42 AM EST
    UPDATED WED, MAR 10 2021 4:06 PM EST

    It was totally untrue. 
    It's usually months after release that you see the orders cut reports though. iPhone 12 Mini released Nov 18 2020 and the report you cite is from 03/10/21 ... iPhone SE was released 10 days ago. I am not saying it's true ..just awfully soon to see a report like this.


    muthuk_vanalingambyronl
  • Reply 10 of 31
    jcs2305jcs2305 Posts: 1,294member
    sdp4462 said:
    It’s because they upped the price but didn’t bump the features and design enough. 
    $30.00 dollars.... the price bump is $30.00 dollars?  I could see if the price jump was $130.00.. or even $100.00.. but I doubt the $30.00 bump is pushing people away.

    They sell the mini with a larger OLED display and better cameras.. how much more can they update and upgrade their bargain phone before it's eating into mini sales?

    mike1byronljony0
  • Reply 11 of 31
    darkvaderdarkvader Posts: 870member
    webweasel said:
    I can't really see the appeal of the SE3 unless you are really counting the pennies. The 12 Mini is only an extra $170 and you get so much more. Also, if you can wait until September, the 13 Mini will surely be discounted to the price of the 12 Mini.

    The appeal is that it has a home button.  It's a FAR better UI.

    If they made a SE+ like some of the early rumor suggested would happen this time, I'd get one.
  • Reply 12 of 31
    JFC_PAJFC_PA Posts: 708member
    Nikkei? Seriously? That’s their semi annual joke forecast. “Production slashed!”  Except, it never is. 
    sconosciuto
  • Reply 13 of 31
    frantisekfrantisek Posts: 750member
    webweasel said:
    I can't really see the appeal of the SE3 unless you are really counting the pennies. The 12 Mini is only an extra $170 and you get so much more. Also, if you can wait until September, the 13 Mini will surely be discounted to the price of the 12 Mini.

    I think design is really dated now. They will sell many but anything bezel less looks old now. You can not recognize it from 6 easily.
    XR sould be base for new SE, with older processor not to compete new phones. Touch id in power button if they can not make it under screen.
    webweaselbyronl
  • Reply 14 of 31
    eriamjheriamjh Posts: 1,373member
    It will sell 20 million and be called a failure.  

    We hear it every launch.  

    Old design.  Most people in this price bracket don’t care what “design” their phone is. 

    Apple is sold out.  They didn’t anticipate demand.  Fail. 
    Apple has immediate stock.  There’s no demand.  Fail. 

    Apple is the worst $2.7T (or whatever) failing company ever.  /s. 

    Tell it to the stock price.  
    mike1lkruppsconosciutoFileMakerFellerbyronl
  • Reply 15 of 31
    One theory they could have cut production is to re-allocate resources to make iPads since they cut production of those to help boost production of the 13 Pro and Pro Max. This is the main reason why you couldn’t get an iPad mini, air, or 9th gen iPad last year. 
    edited March 28 FileMakerFeller
  • Reply 16 of 31
    I really miss the old days of ‘07-‘13 when there were only 2 things to choose from, color and storage capacity. I always went with black (I miss my slate 5) and the highest available capacity since that wasn’t upgradable. Even ‘14-16 with the additional screen size was pretty simple. More colors and 128GB options were great additions. But now it’s just a clusterf**k of a lineup. We need another Jobs purge to simplify it again. 
  • Reply 17 of 31
    I really miss the old days of ‘07-‘13 when there were only 2 things to choose from, color and storage capacity. I always went with black (I miss my slate 5) and the highest available capacity since that wasn’t upgradable. Even ‘14-16 with the additional screen size was pretty simple. More colors and 128GB options were great additions. But now it’s just a clusterf**k of a lineup. We need another Jobs purge to simplify it again. 
    This is Jack's complete lack of surprise at how closely your comment paired up with your handle.
  • Reply 18 of 31
    y2any2an Posts: 124member
    Sigh. The same story for every launch. It’s not news, it’s just how Apple does supply chain planning. 
    FileMakerFeller
  • Reply 19 of 31
    wood1208wood1208 Posts: 2,766member
    SE3 is poor man's 5G iPhone. It could be hit if Apple simply made few design changes like edge-to-edge screen, integrate touchid in power button, dual cameras but that would cost more than $429. If iPhone Mini going to be axed than Apple should come out with SE4 with those design changes.
  • Reply 20 of 31
    opinionopinion Posts: 85member
    M68000 said:
    opinion said:
    I would have bought a SE to switch from my 13 mini (although I like the smaller size of the mini) if it had not been for that same computational photography madness that is now in the SE too. No idea to buy another iPhone which produces horrible pictures in the after processing. Such a disappointment of where Apple has taken photography.
    If photos are so important to you,  just pick up a dlsr or go mirrorless with a real camera ?
    Well, is that how Apple communicates how the cameras are in their new iPhones? I mean do they say: "If photos are important to you, don´t buy an iPhone". No, rather the opposite, they go on about how great they are but in fact, they got bad at least software wise with all this computational photography that you even can´t turn off. A surprisingly bad new direction from Apple.
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