Foxconn's Zhengzhou Factory to Reportedly Cease Production of iPhone 5c

[MacRumors]

Foxconn will reportedly stop production of Apple's lower-cost iPhone 5C at its factory located in Zhengzhou, China, and will reportedly shift the facility's manufacturing efforts towards the iPhone 5s, reports Digitimes.

The news follows a report last week stating that Apple has been steadily reducing its orders for the iPhone 5c with suppliers as customers continue to prefer the iPhone 5s. Previously, it was stated that assembly partner Pegatron has slashed production from 320,000 units per day in October to just 80,000 units per day, with Foxconn operating at a minimal capacity of 8-9,000 units per day.

Foxconn and Pegatron Technology have obtained OEM orders for 30% and 70%, respectively, of iPhone 5c production, the sources said. One month ago, Apple lowered iPhone 5c orders to Pegatron by 20% and those to Foxconn by nearly one-third for the fourth quarter due to unsatisfactory sales, the sources indicated.

Major cuts in iPhone 5c production at Apple's two major suppliers were first reported last month, as the iPhone 5c has regularly seen much greater availability compared to the iPhone 5s. The Zhengzhou factory, one of Foxconn's main facilities for Apple, saw a hiring drive in April ahead of the iPhone 5s and iPhone 5c launch in September, and by ceasing production of the iPhone 5c it will be able to focus its efforts entirely on the iPhone 5s.

While iPhone 5c supplies have been in strong supply since the device's September launch, the iPhone 5s has been much more constrained and is only now beginning to see improved supplies. Last week, shipping estimates for new orders through Apple's online store improved to 1-2 weeks, while the various models are showing significantly improved availability in Apple's retail stores.

Article Link: Foxconn's Zhengzhou Factory to Reportedly Cease Production of iPhone 5c

 

[maflynn]

The 5c should have had a lower price point and the lack of sales is indicating that Apple misread the situation

 

[Sirious]

You can just about see Steve Jobs smiling after reading this

 

[tumtumtum]

Well that's news. Cheaper plastic iPhone that's not really cheaper in any significant way does not sell as well as flagship model.

 

[kolax]

I'd rather they just focused on the one model, but kept selling the previous one at a much cheaper price like in the past.

Maybe this is an indicator they'll switch back to that model.

 

[TwoBytes]

The 5c should have had a lower price point and the lack of sales is indicating that Apple misread the situation

Exactly. Maybe apple should slash all 5c prices to sell them off in the ramp up towards Christmas.

 

[jav6454]

The 5C was a great mistake at only a $100 difference. It would have sold so much at greater difference.

More over, I feel Apple misread the markets and thought the 5C was going to attract more people. I knew the 5C was going to sell, but not as good as the latest and greatest.

 

[vmachiel]

The 5c should have had a lower price point and the lack of sales is indicating that Apple misread the situation

Yeah people want the premium 5s or they don't care about that and want a free phone on contract.

 

[iSayuSay]

Instead of reducing 5C production, how about use the facility to pump up 5S stocks?

 

[Tankmaze]

An expensive lesson for Apple, who would knew the better iPhone would sell better

 

[TimeSquareDesi]

The 5c should have had a lower price point and the lack of sales is indicating that Apple misread the situation

I honestly feel like they made it and priced it at that point (w/same specs as the iphone 5) to make the 5s look better.

 

[BornAgainApple]

Not every product is going to be a hit. Wish they'd bring back the iPhone 5.

 

[Bare]

The 5C is too expensive for what it is. It's not surprising that most people compare the 5S to the 5C and are glad to pay the extra $100.

 

[WaxedJacket]

Ax the 4s, make the 5c your free phone.

Problem solved.

 

[gyang333]

Instead of reducing 5C production, how about use the facility to pump up 5S stocks instead?

That's exactly what they are doing. Did you not read the article?

 

[Rogifan]

The 5c should have had a lower price point and the lack of sales is indicating that Apple misread the situation

The 5C is a fascinating product. Every time we get one of these stories it's a new factory that supposedly is cutting production. How many more times can Apple cut production? With all the stories over the past month or so you'd think Apple wasn't manufacturing any 5Cs at this point. And yet Wall Street really doesn't seem to care as not one of these rumors has really has a negative impact on the stock. The only people that seem to care are the concern trolls like Henry Blodget over at Business Insider.

 

[osx11]

In all honestness, I think Apple made a mistake with the 5C.

Their philosophy is to make the best product, and the 5C simply didn't fit into Apple's design philosophy.

 

[stickyfingers85]

Was in the Bluewater Apple store in the UK this past weekend.

It was very very busy and lots of people crowding round the 5S

How many people looking at the 5C? NONE - not a single person looking at, the entire display table empty of people.

I was there for a good 30 minutes and didn't see anyone spend more than 10 seconds looking at them, and most went straight to the 5S display after

 

[stu.h]

Could have been such a massive hit had the pricing been correct.

WAY too expensive, Apple.

 

[Rogifan]

In all honestness, I think Apple made a mistake with the 5C.

Their philosophy is to make the best product, and the 5C simply didn't fit into Apple's design philosophy.

So were the 3G and 3GS not the best products? They were plastic and they were the flagship device.

 

[krravi]

Its not that the 5S is better. Its just that Apple hyped it to be the low cost phone and it really wasn't. So why pay almost same money for a 5C when 5S is close?

So looks like their strategy to take over the world with that phone has bombed. This was flawed from the very beginning. Apple cannot make a low cost phone. It will go against all its design and manufacturing principles.

Samsung + Android will probably take over the world phone market. But, Apple should concentrate on making premium phones as there is a huge market for it in the developed world and it should be happy with it.

 

[wigby]

You can just about see Steve Jobs smiling after reading this

smiling at his own company failing in everyone's eyes???

 

[Rogifan]

The 5C is too expensive for what it is. It's not surprising that most people compare the 5S to the 5C and are glad to pay the extra $100.

If Apple had kept the 5 around but knocked the price $100 would you say it's too expensive for what it is? Or is the 5C too expensive purely because the case is plastic and not aluminum?

 

[iSayuSay]

That's exactly what they are doing. Did you not read the article?

Yep almost missed that . Nonetheless it turns out to be a big mistake to sell 5C at current price point

 

[jroadley]

In the UK the tariffs were the same as the 5S - and people just bought the 5S

I would of given the phone away free and made sure it had a very cheap tariff.