Yes I am a subscriber. I used to manage engineering at Apple and now manage engineering programs at its competitor. Why do you have to assume people on the internet are just retarded? Do you want a screen shot of the full article?
(I created my account after I left Apple so did not violate its social media policy.)
Pasted from wsj:
The XR is available in Apple stores in Japan from about $750, but carriers’ pricing is more opaque as phones are bundled with data plans.
It isn’t known whether the Cupertino, Calif., company plans to offer similar programs in other regions. Apple declined to comment.
Apple has used marketing dollars before to discount certain iPhone models and drive sales, viewing it as a lever to manage inventory, according to people familiar with its sales and production tactics. During the iPhone 6s cycle, Apple cut production on one model then offered carrier and retailer discounts to help reduce excess inventory, one of these people said.
When extending discounts, Apple has typically chosen to do so on phones made for specific markets because the cost is less than reconfiguring the device for resale in another market, this person said.
The Wall Street Journal reported earlier this week that Apple has slowed production plansfor all the three models released earlier this year, with some drastic chops made on least-expensive XR models.
Though it has been done in the past, officials at Japanese carriers say it is rare for Apple to cut the price in their market on a recently launched handset.
“A price cut within a month of the release is rare not just for Apple but for smartphone makers in general,” said a senior official at a wireless operator, who monitors sales.
Analysts say weaker-than-expected demand for iPhone XR may mirror what happened with the iPhone 5c in 2013, where sales picked up the following year. Apple’s higher-priced XS and XS Max models, released a month earlier, appeal more to tech’s early adopters who typically fuel initial sales of new iPhones.
A price cut within a month of the release is rare not just for Apple but for smartphone makers in general.
—Senior official at a wireless operator
Some Japanese consumers say the XR’s price, while considerably below the XS, is too high for the sacrifices in display quality, number of camera lenses, and slower data transmission speed.
Apple’s iPhone 8 has remained hugely popular in Japan for those looking for an affordable Apple handset, because it is cheaper than the XR and was available when XS and XS Max were released.
Apple suppliers have also recently resumed making the iPhone X, the 2017 model that Apple had stopped selling at its own stores, people familiar with the matter said.
In the past, Apple has produced legacy models for select markets where there is enough demand for those devices, the person familiar with Apple’s sales and production tactics said. The company views it as a way to fuel sales and boost margins, as the components often cost less and manufacturing equipment has depreciated, he said.
People involved in the supply chain said the resumption of the X is due in part to Apple’s contract with Samsung SDI Co. , a major provider of iPhone X’s organic-light emitting diode display, or OLED, panels. Apple needs to buy a certain amount of the panels from the South Korean maker, and given the cut in XS and XS Max, Apple is trying to fill the gap with the old device, they said.
Apple and Samsung SDI declined to comment.
—Tripp Mickle in San Francisco and Yang Jie and Yoko Kubota in Beijing contributed to this article.
