Apple Tells Suppliers to Cut iPhone XR and XS Production by 10% for Next Three Months

Discussion in 'MacRumors.com News Discussion' started by MacRumors, Jan 8, 2019.

  1. Bacillus Suspended

    Bacillus

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    #251
    Do you mean that is your own idea, or some idea that you feel sentiments for, or did you get sentimental when hearing that idea ?
     
  2. I7guy macrumors P6

    I7guy

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    #252
    Leave that interpretation to the reader.
     
  3. Peperino macrumors 6502

    Peperino

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    #253
    There is not blinder that the one that does not want to see.
    Apple is NOT doing fine. Otherwise, its stock would not be plummeting, sales would not be declining and Apple would not be lowering prices in markets like Japan and China.

    Especially if you think the whole market is experiencing this, Cook's increasing prices is not a good marketing strategy.

    And I reiterate Apple is NOT innovating. You failed to mention any Apple product in the last 10 years (except the iWatch) that has been truly innovating and market disrupting.

    iMac external design has not been updated in 10 years.
    Mac Pro has been a failure
    And I can keep going but I already mentioned why Apple is NOT innovating in previous posts.
    And Apple standards have been lowered. Look at how badly Macbooks Pro and Air have been designed.
    Macbook Pro 2016 was a disaster.
     
  4. I7guy macrumors P6

    I7guy

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    #254
    Okay, that’s your subjective opinion. By this logic when apple stock propelled the company to $1T it was doing fantastic.
     
  5. Abazigal macrumors G3

    Abazigal

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    #255
    Raising prices is precisely the right thing to do when growth in a market stagnates. When you know that you are going to sell more or less the same number of units of a products regardless of its price, the natural thing to do would be to further raise prices (and banking on the increased margins to offset any profits lost from a less than proportionate drop in sales), offer more accessories, and release more services.

    In short, rather than try to further grow their iphone user base (which is apparently still growing via the second hand iphone market), Apple is focusing inwards and monetising its existing user base more heavily.

    And I like how you dismiss the success of the Apple Watch so flippantly. Personally, I am not so perturbed by the apparent lack of attention paid to the Mac, because I have come to terms long ago that the Mac simply does not represent the future at Apple.

    Apple will likely still keep the Mac around, if only for app development, but I expect the Mac’s refresh cycle to lengthen in accordance with its profitability (heck, the ipad is already slipping to a 1.5-year refresh cycle).

    The future at Apple is clearly wearables. The Apple Watch and AirPods are simply the tip of the iceberg. It’s funny how so many people wonder out loud what the next big thing at Apple is, while completely ignoring the reality that is right in front of their very eyes.
     
  6. Baymowe335 macrumors 68040

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    #256
    You don’t have it quite right.

    Stock price is indicative of company performance, but only over time. This is a difficult concept for people who don’t own stocks to understand and even pmsny people who do. The average stock varies 50% in price during a 12 month period. They don’t just go straight up forever.

    Stocks do all kinds of things in the short term, but earnings eventually prevail. Apple is not the only stock under pressure the last 90 days. Amazon went from $2050 to $1400 on almost no news.

    Google went down 30%, Facebook 40% AMD and NFLX almost 50%.

    The game isn’t over yet. Apple guided down revenue by $5B on a $90B starting point, so roughly 7%. The stock dropped 40% because people are losing their minds when things aren’t perfect. Here were many positives along with the struggles in China.
     
  7. DeepIn2U macrumors 603

    DeepIn2U

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    #257
    True ... but if they could with production it still would be VERY cheap. Apple wants to keep existing customers so that services revenue climbs. Getting more would definitely help as well. Less spent on super expensive devices means more to spend on services - if needed or wanted.
     
  8. ldandp0 macrumors newbie

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    #258
    Sure, that's his subjective opinion. Then again, if this forum appended the signature "The above was my subjective opinion" to everyone, they'd all be just as accurate.

    In my opinion, your subjective opinion is absurd. Any company that has stock plummeting naturally has a point in which it is plummeting from. To suggest that we can thus not assess such a company is performing poorly is illogical.
    --- Post Merged, Jan 12, 2019 ---
    If you are sure people are losing their minds and these companies are severely undervalued, I hope you've invested heavily in them. Free money.
     
  9. ipponrg macrumors 6502a

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    #259
    You must not be a day trader.
     
  10. I7guy macrumors P6

    I7guy

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    #260
    Apple is a company under a microscope. That Warren Buffet is buying up shares in Apple says much about the company.

    Bringing in $84B in one quarter is not poor performance. That makes no sense. What makes more sense is to say the company might be under performing.
     
  11. Baymowe335 macrumors 68040

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    #261
    Nothing is free or a sure thing.

    However, the last 3 months doesn’t make the story completely bad or final.

    If stocks never went down, this wouldn’t be hard. But when stocks do go down, you’re better off buying than selling because stocks go up over the long term.

    Psychology is the most important thing in investing, not money. The right time to buy is usually when it feels the most painful. Easy to say, hard to do.

    You know how sick I felt buying stocks in 2008 all the way down to S&P 666? Best investments I ever made.
    --- Post Merged, Jan 12, 2019 ---
    You are overestimating the market’s ability or need to be rational in the short term.

    In the short term, stocks go both up and down when the underlying company is doing well. They also go up or down when the company is performing badly.

    The most simple example is all stocks go up when the market goes up, despite the underlying company perhaps struggling. Same thing in down markets. EVERYTHING goes down regardless.

    You see Amazon go from $2,050 to $1400 on no news?

    Apple isn’t the only stock down 30% btw. The whole market has been horrible the last 90 days. We had the worst December since 2008 or it might have even been worse. NO ONE cared how companies were performing. They were selling everything and by “they” I mean computers. Algorithms that sell first and ask questions later.

    If you think Apple getting $84B in sales and record EPS instead of $89B and record EPS means the company is worth 35% less than 3 months ago, ok, that’s your opinion. But this is how many is made in the market. When you can step back and ask yourself if this is insane or not.

    Apple trades at 10x earnings. Do I want to buy that or more AMZN trading at 100X earnings?

    Samsung just reported they are doing badly in all businesses.
     
  12. Bacillus Suspended

    Bacillus

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    #262
    So what plan for the issues named here:
    https://forums.macrumors.com/thread...xt-three-months.2164384/page-10#post-26992128
    We’re trying to find out for months now what this plan is - only to hear more of the same milking strategy - or getting the question echoed
     
  13. I7guy macrumors P6

    I7guy

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    #263
  14. Bacillus Suspended

    Bacillus

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    #264
    Ah, then "And from the inside I can tell you the management has a plan and is sticking to the plan." is supposed to mean "I haven't seen or heard a plan, only as a believer assume so"
     
  15. I7guy macrumors P6

    I7guy

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    #265
    Yes. It's supposed to mean there is information not made public. Some people make the assumption (or erroneously believe) Apple just meanders from day to day hoping for good quarterly results.

    Because you, personally, haven't seen "the plan" doesn't mean that it is vaporware. In fact, I believe the opposite, the business is very closely managed.
     
  16. Bacillus Suspended

    Bacillus

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    #266
    Ah..so the plan for AirPower was to develop it, announce it, silence it, redevelop it, and launch it more than a year late.
    To frame your words: closely managed and great expectation management.

    You have some wording/terminology issues with the majority of people on MR that won't be solved with you asking others to adapt.
    So better change your own beliefs & vocabulary
     
  17. I7guy macrumors P6

    I7guy

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    #267
    Taking a general statement and making it about a specific product shows that you may not fully understand that innovation cannot be rushed; and sometimes there may engineering and software issues to be overcome.

    I guess Apple isn't as perfect as Samsung (the leader in design and innovation: your words).

    I don't think it's me that is having the terminology issues around here. But nonetheless you and me and everyone else is free to voice their opinions within the guidelines.

    And I plan on continuing to do just that, don't need a negative nancy saying: "do as I say, not as I do".
     
  18. Bacillus, Jan 13, 2019
    Last edited: Jan 13, 2019

    Bacillus Suspended

    Bacillus

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    #268
    Thx for an open door about innovation (I’ve been in it for 20 years), but the fact that a product gets announced means that the hurdles have been overwon, the prototype is ready, production has become contracted & provisioning is a controllable proces.
    Well, if there was a plan. So, apparently there wasn’t - contrary to your belief.
    That has nothing to do with negativity, but is just binary “have or have-not” logic that you don’t seem to understand.
    This is not specific, as this forum is full of proven examples that prove the exact 180 degree denial of what you state (on Macs, upgrade policy, innovation, iPones, iOS, drivers, stability, pricing, production, costs, camera’s, sales, modems, Tim Cook, forecasts, routers, features, TV’s, engineering,.........)
    Better use an antonym machine before posting (there should be an app for that, by Apple I’d guess)
     
  19. I7guy macrumors P6

    I7guy

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    #269
    There are other possibilities that don’t negate what I’ve said/postulated, but maybe the bias doesn’t allow those possibilities to be seen.

    1. Apple wanted to put it out there they were doing this. Certainly not the first or the last company to market like this.
    2. There may have been some engineering issue or changes at the last minute that necessitated some reworking in spite of the plan. This wouldn’t be the first or last time for a company to do that.

    Those negative Nancy’s wouldn’t see those possibilities. As I’ve said before the armchair CEO’s should apply to Apple mgmt positions or the board.

    But carry on.
     
  20. ipponrg macrumors 6502a

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    #270
    Agreed

    I think the way Apple announced the AirPower kind of reflects the company mantra as a whole. Arrogance for both good and bad.

    Apple was so confident about that the AirPower in its prototype stage that they felt it deserved the time for an announcement. It just so happened this was a misstep and shoved under the rug for the indefinite(?) time being.

    But alas perceiving realism is often interpreted as pessimism by people that are naive. The primary way you can be perceived as positive is if you deny what is logical and accept beliefs of grandeur
    --- Post Merged, Jan 13, 2019 ---
    They missed their target and have taken the strategy of being silent on its progress. People will criticize. For a high profile company that is expected. End of story. Call it negative or positive, it is what it is.
     
  21. Bacillus Suspended

    Bacillus

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    #271
    All the things you say disqualify from a proper understanding of how things work.
    Good leadership would have avoided those “last changes”, i.e. it would freeze the prototype and only do annoucements after all unforeseen circumstances would have been ruled out.
    In the industry I was in, progress got documented & enforced by contracts.
    The schoolyard-working method that you suggest, would imply that iPhones, by their complexity, would appear 2/4 years later than intended (if ever...)
    This is an industry, not a household.
     
  22. I7guy macrumors P6

    I7guy

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    #272
    If the expectation is perfection out of a high profile company, that will never be the case. But sure the all viewpoints are welcome, I agree with that.
    --- Post Merged, Jan 13, 2019 ---
    Part of why there are so many "opinions" is that everybody (I'll include myself here and anybody I'm replying to) has the proper understanding of how things work. And therefore their opinions are objectively correct.
     
  23. Bacillus Suspended

    Bacillus

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    #273
    I am afraid Tim sold you the wrong dongle.
    (I’d recommend not to swallow it, if it wouldn’t enhance the chance of you doing so)
     
  24. I7guy macrumors P6

    I7guy

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    #274
    Nah, I can still use headphones with the lightning port jack.:p
     
  25. Peperino, Jan 13, 2019
    Last edited: Jan 13, 2019

    Peperino macrumors 6502

    Peperino

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    #275
    That is your opinion, and actually, raising prices has not seemed to be very effective wahtsoever since many people are either not upgrading as often as they use to due to the ridiculously expensive prices, or just simply switching to other platforms. You can see this since sales have been going down, not up. Furthermore, Apple lowered prices in China and Japan (I wonder why, it seems they do not 100% agree with you tactics of indiscriminately raising prices).

    Apple could have just lowered prices, sell more and increase market share, since that will increase the revenue generated through their own services as well. And this has been said by many powerful investors, not me.
    I doubt that Apple will turn into a full wearable company. Computers will not go away since they are needed for many applications.
    But if that would be the case, I will switch to Windows tomorrow.
    10 years ago, if you remember Apple used to be at the forefront of innovation. Not anymore.
    For example, Homepod came late to the market and way overpriced.
    It is just sad and pathetic, how Apple has been raising prices without any innovation whatsoever, in almost the entire product line.
    Apple product design team had made such lame mistakes that they should be fired.
    The Mac Pro trashcan was a failure, the Macbook Pro (they removed one of the most brilliant features, the magSafe) and it was so bad that you cannot connect Apple's most popular product its own iPhone. So bad that in 2016, the first week they discounted all adaptors. The iMac external design was not updated in the last 10 years. The iPad pencil 1, was so bad that you had to plug it in onto the ipad (obviously now corrected on the new pencil).
    And the iPhone, increased its price almost 100% from 2 years ago, costing as much as a Macbook Pro. Did the technology and innovation of iPhones increase as much to justify a 100% increase? I do not think so.
    Products, prices and numbers speak for themselves.

    And I believe more people in this forum will agree with me than with you.
     

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