Apple Reportedly Plans to Cut Price of iPhone XR in Japan Due to Poor Sales and Restart iPhone X Production

[tromboneaholic]

You seem to feel the need make some snarky comment about one of Apples competitors in every post. I don't know if you think this is bothering me, makes absolutely no difference to me what you say about them, seems a bit fan boyish but if it makes you feel better.

I use an iPhone and a Mac, I just don't worship Apple like they're a religion, because they would be odd. Look here's a picture of me posting a reply from my MacBook Pro.

You seem to have made some snarky comments after I mentioned that it would be naive to take this article at face value, despite examples of this type of report being incorrect for the past 5 years.

I just mention other brands in response to irrelevant comments.

 

[Rob_2811]

You seem to have made some snarky comments after I mentioned that it would be naive to take this article at face value, despite examples of this type of report being incorrect for the past 5 years.

I just mention other brands in response to irrelevant comments.

Great, as long as you realise that they have zero significance. No problem at all.

 

[tromboneaholic]

The stories about production cuts aren't based on one source. Apple only has a handful of iPhone manufacturers and when they ALL say they are cutting iPhone production lines, that is something.

It might be something, as it's been every time in the past. What it hasn't meant in the past is that sales are not meeting Apple's expectations. After ramping up for the product launch and building inventory for the holidays, Apple could very well be ordering less just as planned.
[doublepost=1543087976][/doublepost]

Your right it is business and that doesn't end in the here and now, its great at the moment as per the original post the next two three years will be telling.

The success of Apple Watch has shown Apple can launch a product and refine it for the market just like they did with the original iPhone. There is still huge potential for the Watch ahead.

Apple's investment in R&D can't be ignored either. With AirPods and Watch, along with the rumored AR tech they are working on, it seems like they might be building the next platform that will someday replace iPhones like they did when they replaced the iPod with a phone.

 

[Rob_2811]

The success of Apple Watch has shown Apple can launch a product and refine it for the market just like they did with the original iPhone. There is still huge potential for the Watch ahead.

Apple's investment in R&D can't be ignored either. With AirPods and Watch, along with the rumored AR tech they are working on, it seems like they might be building the next platform that will someday replace iPhones like they did when they replaced the iPod with a phone.

I agree. Its a tiny business compared to the phone at the moment though.

 

[I7guy]

No goal post shifting that is you.

Cheapest 2012 flagship phone was 649, in 2018 it is 999. The rest is agree with you 100%. Apple has more affordable products with way more choice. Heck I just bought an iPhone 7 from my cellphone phone provider the other day. It was $210, plus upgrade fee of $35, after everything was said and done it cost me 2.50$ for the phone because they gave me a 300$ beat buy gift card.

I fully acknowledge that it is possible to get a good deal on a kick ass non flagship apple phone.

That's the difference in the argument. In 2012 the iphone landscape was different, there was no non-flagship. So in 2018 the least expensive 2018 phone one can buy is $749, the least expensive phone is $449. If one wants to move up a tier the phones become more expensive. We see this differently and thus we will continue to go around in circles as the marketing of iphone in 2018 is different than 2012. So no goal shifting here, just differing interpretations of the same facts available to all of us.

 

[tromboneaholic]

As they shouldn’t. It’s been a stupid data point for years as Apple keeps bearing revenue and eps net analysts cry about them “missing” a number Apple never promised.

Analysts model fake iPhone expectations and when Apple doesn’t hit their number, they say Apple is doomed.

Investors should be focused on revenue and profit...which Apple is growing high double digits.

Losing unit sales, but Apple will be giving more detail around the services business, which is the future of Apple.

The cynic in me suspects that analysts are upset over Apple not disclosing units is the discussion then has to focus on revenue (especially service revenue that is not seasonal). This makes it more difficult for the analysts to affect the stock price with fake projections.
[doublepost=1543088637][/doublepost]

I agree. Its a tiny business compared to the phone at the moment though.

Not being snarky, but almost everything is a small business compared to the phone.

The last time I looked, Apple Watch sales were comparable to Amazon's Alexa, which a lot of the tech media touted as a "success" while the Watch was a "failure."

 

[WannaGoMac]

OMG stop whining. There is a great cheap model iPhone, it's called the Xr and is a measly $750 without nice carrier discounts I am seeing all over in the USA (seriously, change carriers every time you need a new phone and get kickbacks). The Xs is total overkill, I'd never get one unless I had to have a Max (and I have an X).

We live in a capitalist society. Companies can charge $1000000 if they want for a phone and there is nothing wrong with it unless you're in a monopoly situation (ie. broadband in the USA). Fact is most of us have jobs because companies get profits, they have the right to maximize their profits as much as they can while we have a right to try to minimize our expenses.

If Apple isnt selling as many phones, then guess what? Market forces means apple execs will adjust their strategy to try to increase sales. ps I think this report is BS, 3rd year in a row ive watched this BS from stock market manipulation firms.

 

[tromboneaholic]

Up from $9.5 billion this year. Can't wait to see it.

That was 1 quarter, 3 months.

During the third fiscal quarter of 2018, Apple's services revenue brought in $9.55 billion in revenue, up 31 percent from the $7.27 billion in revenue services earned in the third quarter of 2017.

Services revenue grew from $7.9 billion in the fourth quarter of fiscal 2017 to $10 billion in the fourth quarter of fiscal 2018, an increase of 27 percent.

 

[Rob_2811]

OMG stop whining. There is a great cheap model iPhone, it's called the Xr and is a measly $750 without nice carrier discounts I am seeing all over in the USA (seriously, change carriers every time you need a new phone and get kickbacks). The Xs is total overkill, I'd never get one unless I had to have a Max (and I have an X).

We live in a capitalist society. Companies can charge $1000000 if they want for a phone and there is nothing wrong with it unless you're in a monopoly situation (ie. broadband in the USA). Fact is most of us have jobs because companies get profits, they have the right to maximize their profits as much as they can while we have a right to try to minimize our expenses.

If Apple isnt selling as many phones, then guess what? Market forces means apple execs will adjust their strategy to increase sales again. ps I think this report is BS, 3rd year in a row ive watched this BS from stock market manipulation firms.

Yes Apple will continue to sell 60 million phones a quarter forever

 

[WannaGoMac]

Yes Apple will continue to sell 60 million phones a quarter forever

And why do you care? I could care less how many phones are sold, i care about finding a product that meets my needs.

Also since you highlighted it, this is what I was meaning so I added the word try for you.

If Apple isnt selling as many phones, then guess what? Market forces means apple execs will adjust their strategy to TRY to increase sales.

 

[9081094]

But without constantly complaining about products you don't own, what would you do?

First, you don’t know what I own and what not. Second, I’m free to express my personal opinion. Be happy I express them, if it were up to you Apple would sail the same course with upping prices and crippled products like the overheating Mac mini, iMac pro, bendable ipadpro with phone OS. Non competitive priced iPhones and only yearly incremental updates on iOS and MacOS. Arrogance will be Apple’s downfall and I hope the snobs with them.

 

[Rum_Becker]

There have been some bizarre posts in this thread, seems to be some panicked stock holders in full damage limitation mode.

I remember one saying that he was happy when the stock went down to 1 trillion because they were able to buy more at a discount. Now it have gone down another 25%, I would not take stock advice from anyone on this forum.

 

[9081094]

What the heck happened to AAPL market cap? Down to $759B with just a 1.5 point drop. It's on its way to dropping nearly half of its market cap in one month.

It’s down even further today. If you ask me, it’s still way to high
[doublepost=1543091947][/doublepost]

I think many professional anyalysts disagree with that. Stock has lost almost 1/3 of a trillion dollars since they announced that, but you know more, lol

I guess investors are becoming aware that the Apple of today isn’t competitive anymore. They used to excel in every category they were in.... can’t think of any today. Years of excessive greed and little investment in products has finally taken its toll. And you know what? It makes me happy because the only reason to get Tim to listen to it’s customers is by losing money. Think different, pray for a better Apple
[doublepost=1543092603][/doublepost]

Smart investors are not in denial thst iPhone unit volume has slowed and even plateaued. When businesses evolve, the focus evolves. Apple being a services business is far better than a widget maker. They are trying to get investors to focus on the whole package, which is huge. Services are going to be a $50B business next year and command much higher multiples than hardware.

I’m curious what service they’ll be selling in the Netherlands. This year Apple definitely priced itself out of the market. The Galaxy S9 is far less expensive as the cheapest iPhone XR. Losing even more marketshare over here will have a snowball effect. Developers won’t develop for iPhone first, don’t program with the benefits iOS has to offer (they will compile the code, quick and cheap). People already feel a second citizen with the iPhone over here because many services don’t work as they do in the USA. As I said, losing further market share and Apple will lose its entire business over here. So what services will it sell?

Apple TV service? With no violence and nudity? Lol

 

[Rum_Becker]

That's the difference in the argument. In 2012 the iphone landscape was different, there was no non-flagship. So in 2018 the least expensive 2018 phone one can buy is $749, the least expensive phone is $449. If one wants to move up a tier the phones become more expensive. We see this differently and thus we will continue to go around in circles as the marketing of iphone in 2018 is different than 2012. So no goal shifting here, just differing interpretations of the same facts available to all of us.

Fair enough, but that still does not explain comparing the 64GB iphone 5 @ 849 to the base Xs at $999. A better example would be 2013. base phone was $549 today it is $749, Flagship were $649 and $999 respectfully and I'm pretty sure the 4s was selling for around $449 but can't find a source.

To sum it up in 2013 the least expensive iPhone was $449, the least expensive 2013 model was $549 and the Flagship was $649. Today those numbers are $449, $749, $999.

 

[9081094]

Apple's investment in R&D can't be ignored either. With AirPods and Watch, along with the rumored AR tech they are working on, it seems like they might be building the next platform that will someday replace iPhones like they did when they replaced the iPod with a phone.

Aaaahhh the famous infinity pipeline of Tim. It’s past time something might drop out. Something great, something competitive. I’ll wait, wait... yawn... wait... zzzzzzzz

 

[Baymowe335]

Up from $9.5 billion this year. Can't wait to see it.

Check your math and knowledge of the company...services were $10B in Q4 alone and almost $38B in FY2018 growing at 25%.

I love when people try to make a point without knowing the facts.
[doublepost=1543098821][/doublepost]

I think many professional anyalysts disagree with that. Stock has lost almost 1/3 of a trillion dollars since they announced that, but you know more, lol

Most professional analysts are wrong about stocks. Why do you think they make less than $100K as a freaking analyst? If they were good at predicting stocks, they’d do that for a living.

Gene Munster is one of the few analysts who has been right about Apple for years and he agrees this is good long term. Anyone who actually knows the company understands the move. Analysts now just have less to criticize, so they criticize the decision.
[doublepost=1543099111][/doublepost]

It’s down even further today. If you ask me, it’s still way to high
[doublepost=1543091947][/doublepost]
I guess investors are becoming aware that the Apple of today isn’t competitive anymore. They used to excel in every category they were in.... can’t think of any today. Years of excessive greed and little investment in products has finally taken its toll. And you know what? It makes me happy because the only reason to get Tim to listen to it’s customers is by losing money. Think different, pray for a better Apple
[doublepost=1543092603][/doublepost]
I’m curious what service they’ll be selling in the Netherlands. This year Apple definitely priced itself out of the market. The Galaxy S9 is far less expensive as the cheapest iPhone XR. Losing even more marketshare over here will have a snowball effect. Developers won’t develop for iPhone first, don’t program with the benefits iOS has to offer (they will compile the code, quick and cheap). People already feel a second citizen with the iPhone over here because many services don’t work as they do in the USA. As I said, losing further market share and Apple will lose its entire business over here. So what services will it sell?

Apple TV service? With no violence and nudity? Lol

What analysis makes Apple stock too high? Is 12X earnings too much for a company with double digit revenue growth, 30% eps growth, and the largest buyback in the world? I hope you’re selling all stocks because Apple is one of the cheapest stocks in the S&P 500, particularly when you factor in the growth, cash, and buyback. They will grow eps ~12% with no earnings growth on the buyback alone.

Apple just made $60B in earnings vs $48B the prior year.

All if you haven’t noticed, a Google, Amzn, Facebook, Netflix Nvidia, AMD, etc have all lost as much or more on a % basis as Apple. The short term price decline is a product of overall market turmoil, particularly in tech.

Apple just posted a phenomenal quarter, nesting top and bottom lines.

Do you own stocks?

 

[Khedron]

Actually, they don't have better screens and better cameras. They need more ram because of how inefficient android is and they don't get the level of support that iphones get.

Support like downclocking your phone until they were ordered to stop doing so?

iOS isn't efficient. Apple charge obscene markups for small amounts of RAM and then work around the limitations by not supporting true multitasking.
[doublepost=1543100840][/doublepost]

The last time I looked, Apple Watch sales were comparable to Amazon's Alexa, which a lot of the tech media touted as a "success" while the Watch was a "failure."

Alexa is software. You mean the Echo speakers? Alexa is a also on their Fire tablets and Fire TV.

 

[Baymowe335]

Support like downclocking your phone until they were ordered to stop doing so?

iOS isn't efficient. Apple charge obscene markups for small amounts of RAM and then work around the limitations by not supporting true multitasking.

No one “ordered” Apple to do anything. They did it willingly and added an option for you to control battery management (versus a company like Samsung that just let my Note 4 randomly shut down) and did $29 battery replacements for anyone who wanted one.

iOS is more efficient and does keep other Apps open in the background where I left off. Not sure what your definition of multitasking is, but no one cares about how much RAM is in a phone except spec nerds. People just want their phones to work well and be fast.

A12 > any chip in mobile.

 

[sofila]

Using a VPN to watch regional content on Netflix used to be possible, but Netflix closed that loophole.

Incorrect, there is a lot of content regarding Netflix that is location dependent.

My point is that Netflix offer (and in some way Prime Video too) in my country looks and feel almost complete, especially regarding the price I pay for the service. Spotify even better. Apple services and products are not completely delivered in my country, while the price is even higher than in big markets. Therefore Apple brand as "a whole" is far less appealing. And italian customers are 2nd class customers. This thing is very difficult to accept in 2018 from the richest (and everything may end with "est") company of the world.

 

[Rum_Becker]

No one “ordered” Apple to do anything. They did it willingly and added an option for you to control battery management (versus a company like Samsung that just let my Note 4 randomly shut down) and did $29 battery replacements for anyone who wanted one.

iOS is more efficient and does keep other Apps open in the background where I left off. Not sure what your definition of multitasking is, but no one cares about how much RAM is in a phone except spec nerds. People just want their phones to work well and be fast.

A12 > any chip in mobile.

I love the hypocrisy. No one cares about SOC's either except spec nerds and Apple fanboys. Apple A series chips are absolutely amazing and I give Apple great credit for making such amazing chips. The thing is, in real word speed tests they don't really provide much advantage over high end android phones, this leads me to believe that iOS is the issue.

 

[I7guy]

I love the hypocrisy. No one cares about SOC's either except spec nerds and Apple fanboys. Apple A series chips are absolutely amazing and I give Apple great credit for making such amazing chips. The thing is, in real word speed tests they don't really provide much advantage over high end android phones, this leads me to believe that iOS is the issue.

There is no hypocrisy. It's no secret on the street that apple silicon is the best there is. Most people don't care about the silicon, only what it can do. He was just pointing out the other side (and more of the real world) of what has become another tit-for-tat by android spec-mongers vs apple nerds.

In real world tests, these chips rule, as you noted, however, you have to give them something to work with. Youtube videos depicting app openings and that are dependent on animation speed do not show the entire picture. Real time computational photography does as well as 4k movie encoding and editing.

 

[Rum_Becker]

There is no hypocrisy. It's no secret on the street that apple silicon is the best there is. Most people don't care about the silicon, only what it can do. He was just pointing out the other side (and more of the real world) of what has become another tit-for-tat by android spec-mongers vs apple nerds.

Nope sorry,

but no one cares about how much RAM is in a phone except spec nerds.

A12 > any chip in mobile.

In real world tests, these chips rule, as you noted, however, you have to give them something to work with. Youtube videos depicting app openings and that are dependent on animation speed do not show the entire picture. Real time computational photography does as well as 4k movie encoding and editing.

I have no doubt that in CPU intensive tasks an A chip will always win, but that has to do with the chips not the OS. When an android can't beat an A series chip in simple tasks, I tend to believe that the issue is iOS.

 

[Baymowe335]

I love the hypocrisy. No one cares about SOC's either except spec nerds and Apple fanboys. Apple A series chips are absolutely amazing and I give Apple great credit for making such amazing chips. The thing is, in real word speed tests they don't really provide much advantage over high end android phones, this leads me to believe that iOS is the issue.

That was just to emphasize that Apple hasn’t forgotten about hardware. Their hardware is industry leading or among industry leading in every category.

They do provide real world advantages and the advancement will be a long term advantage for AR and VR, which is why Apple is investing these chips so heavily. People like you can’t understand why because you don’t see the overall strategy.

The A12 also makes the iPhone useable for longer...one of the reasons iPhones hold their value so much better than the competition.
[doublepost=1543106232][/doublepost]

I agree. Its a tiny business compared to the phone at the moment though.

Numbers are still numbers and the watch is still likely a huge business, just not huge for Apple.

You also thought the services business was only $9.5B for the year, so you’re not so credible on Apple’s numbers or their significance.
[doublepost=1543106533][/doublepost]

It’s down even further today. If you ask me, it’s still way to high
[doublepost=1543091947][/doublepost]
I guess investors are becoming aware that the Apple of today isn’t competitive anymore. They used to excel in every category they were in.... can’t think of any today. Years of excessive greed and little investment in products has finally taken its toll. And you know what? It makes me happy because the only reason to get Tim to listen to it’s customers is by losing money. Think different, pray for a better Apple
[doublepost=1543092603][/doublepost]
I’m curious what service they’ll be selling in the Netherlands. This year Apple definitely priced itself out of the market. The Galaxy S9 is far less expensive as the cheapest iPhone XR. Losing even more marketshare over here will have a snowball effect. Developers won’t develop for iPhone first, don’t program with the benefits iOS has to offer (they will compile the code, quick and cheap). People already feel a second citizen with the iPhone over here because many services don’t work as they do in the USA. As I said, losing further market share and Apple will lose its entire business over here. So what services will it sell?

Apple TV service? With no violence and nudity? Lol

Apple has over 40% share in the Netherlands, which means iPhone is likely the single most popular phone since the remaining Android phones are probably 10 or more phones.

You haven’t established anything concrete that Apple struggles with in the Netherlands, so I doubt anyone feels like a “second class citizen.” You don’t own a market by being a second class phone, lol.

 

[tromboneaholic]

They do provide real world advantages and the advancement will be a long term advantage for AR and VR, which is why Apple is investing these chips so heavily. People like you can’t understand why because you don’t see the overall strategy.

The A12 also makes the iPhone useable for longer...one of the reasons iPhones hold their value so much better than the competition.

One of the reasons I didn't mind paying $999 for my iPhone X is precisely because I knew I would keep it for at least 3 years, and the performance would still be up to par for the foreseeable future.

 

[Rum_Becker]

That was just to emphasize that Apple hasn’t forgotten about hardware. Their hardware is industry leading or among industry leading in every category.

They do provide real world advantages and the advancement will be a long term advantage for AR and VR, which is why Apple is investing these chips so heavily. People like you can’t understand why because you don’t see the overall strategy.

The A12 also makes the iPhone useable for longer...one of the reasons iPhones hold their value so much better than the competition.

People like me, lol!!!

I bet the A10,A11,A12 maybe even the A9 could all beat the lasted and greatest Android SOC. Yet in many everyday tasks, they are in par with a high end Android. I call that sloppy programming.

As for holding value I don't really care, I get free or nearly free last gen android flagship phones every year. I don't even bother with a screen protector or case and fir the price of Apple Care in Canada I could use that money for 6 months of cell service.

For the price of a fully loaded iphone Xs max with Apple Care I could pre pay 5 years of cell service. So sorry I will not trust your opinion of what is value.