Apple Will Reduce iPhone 7 Production By 10% in Early 2017 Due to 'Sluggish' Sales

[Negan Lannister]

When Samsung releases their next phone in March, it will most likely not have a headphone jack (as reported) and then the complaints will be Apple fans saying "copy-cats" while Samsung fans will say "this is the right way to go forward".

Hypocrisy on both sides. Motorola did it first before Apple though. Then when the new iPhones gets OLED and curved display using Samsung as the supplier, Samsung fanboys will scream copycats towards Apple. When Apple goes bezel-less, people will point out Xiaomi Mi Mix.

They just copy each other. Features will be called a gimmick until it becomes practical and cool once it is becomes a feature on their preferred brand choice.

 

[truthertech]

Turns out you were just spit ballin info that Cook spit-balled to the Fortune writer, a writer that had to put all kinds disclaimers in the article ...

"Apple hasn’t revealed exact volume or usage numbers, but it has said the service adds one million new users each week. Apple has also said in the past that transaction volume through Apple Pay is five times the amount from a year ago. But without a baseline usage number, it’s impossible know whether the current volume is significant."

/

Red, Honest Abe had great advice for you and another sage piece of advice is to "when you find yourself in a hole, stop digging." You know you're in trouble when you try and troll Apple over it's success with Apple Pay and the most negative thing you can find is that it is ADDING ONE MILLION USERS PER WEEK. Ouch, that has to hurt in hindsight.

Remember, no matter how much you want to wish it away, those million additional users per week have pushed Apple Pay to the top, and Apple Pay is part of the impressively successful Apple Services component. Sorry to rub salt in the wound, but Apple Services has also been so successful that its revenue has now exceeded the entire revenue for all of Facebook, and in 2017 is predicted to grow so large that it's revenue alone will be the equivalent of a Fortune 100 company.


“Apple’s mobile payments wallet, Apple Pay, had a record quarter, said CEO Tim Cook on the company’s fourth quarter earnings call on Tuesday afternoon. Users of the mobile payments service completed more transactions in the month of September than the entire year of 2015, he added. Transaction volume was up 500% in the fourth quarter, compared to the same quarter in 2015."

Citing leading financial partners, Apple CEO Tim Cook says 3 out of 4 contactless payments made in stores in the U.S. were done using Apple Pay, the company's mobile payments service.

 

[falainber]

Read post #47. Go ahead. It's simply this time of year again.

This post confirms my statement. I did not check all the links. I checked just this one:

https://www.cnet.com/news/analyst-apple-cutting-iphone-production/ - iPhone 3GS

Here is a quote from it:

Craig Berger of FBR Capital Markets said in a research note Monday that his research indicates Apple has cut back on orders for the iPhone 3G by as much as 40 percent during the fourth calendar quarter of the year, compared with Apple's order for the third quarter.

Those were the good times! Analysts were surprised when sales dropped after the holidays. Back then iPhone sales had seasonal fluctuations with year-on-year growth. Situation changed after iPhone 6. 6S sales were lower than iPhone 6 sales. And now apparently iPhone 7 sales are going to be lower than iPhone 6S sales (i.e. seasonal fluctuations with year-on-year decrease).

 

[Williesleg]

Can't even imagine the look on the faces of those that have held off purchasing the 2016 edition of the iPhone ONLY to find out that the 2017 edition is identical ... except the camera will be repositioned in order to sell the newest iteration of the Silicone Case.

Yeah, I'm dumbfounded.
Time to fire the cook.

 

[RedOrchestra]

Citing leading financial partners, Apple CEO Tim Cook says 3 out of 4 contactless payments made in stores in the U.S. were done using Apple Pay, the company's mobile payments service.

Just more bull in the china shop data "said CEO Tim Cook" , "Apple CEO Tim Cook says" - try to read something other than from Apple's chief hoodwinker Cook ...

Apple Pay’s frequency of usage is putrid

http://macdailynews.com/2016/08/03/apple-pays-frequency-of-usage-is-putrid/

Frequency of Usage: The percent of people who use the service more than once has fallen from its peak a year ago, and is now sharply lower than what had been seen at launch. After you take into account both who has adopted the service, and how often people who have adopted it use it, the numbers have barely moved over 20 months: roughly speaking, only one person in 20 who have the service use it when they can, 19 out of 20 people who have the service don’t even bother.


truther ... I'm sure I can speak for most here - we've had enough of your non-sensical misdirection - your 15 minutes are up - I'm moving on.

 

[I7guy]

Just more bull in the china shop data "said CEO Tim Cook" , "Apple CEO Tim Cook says" - try to read something other than from Apple's chief hoodwinker Cook ...

Apple Pay’s frequency of usage is putrid

http://macdailynews.com/2016/08/03/apple-pays-frequency-of-usage-is-putrid/

Frequency of Usage: The percent of people who use the service more than once has fallen from its peak a year ago, and is now sharply lower than what had been seen at launch. After you take into account both who has adopted the service, and how often people who have adopted it use it, the numbers have barely moved over 20 months: roughly speaking, only one person in 20 who have the service use it when they can, 19 out of 20 people who have the service don’t even bother.

To a certain extent I can understand this as I've tried Apple Pay a few times. But I wouldn't use Samsung pay or android pay any more frequently than Apple Pay. I'd rather take out my cc. I guess one persons Apple Pay is a blockbuster is another person's "usage is putrid". Depends on your yardstick.

 

[truthertech]

Just more bull in the china shop data "said CEO Tim Cook" , "Apple CEO Tim Cook says" - try to read something other than from Apple's chief hoodwinker Cook ...

Apple Pay’s frequency of usage is putrid

So "putrid" that it's usage is growing exponentially and now accounts for three out of four (that's 75% for you trolls) of all contactless payments in the US. If that's putrid, what does that make Samsung Pay, Google and others then Mr. Android? I know it hurts, but just like with cell phone industry profits, and tablet profits, Apple has left the rest of the industry fighting over the scraps.

 

[R3k]

Headphone Jack. We tried to warn everyone that was a bridge too far. But you know.... THINNER !!!!

Water resistance.

 

[ProjectManager101]

But I thought the iPhone 7 was the "greatest iPhone we've ever made"?

Yes, the problem is that "people just do not get it".

 

[trekkie604]

I know, right? Freaking Tim Cook. I wish I was the guy you returned it to I would have a lot of fun. I'll never understand how people think they can buy something knowing full well it does not have an aux cable input and then try and return it down the road because it doesn't have an aux cable input. Welcome to America.

Welcome to Canada where we have consumer protection laws. I can return whatever I want; and after trying it out, if I determine it to be garbage it goes back. You would have no leg to stand on. Plus a lowly retail sales associate on a poorly attempted power trip would not intimidate me in the slightest.

 

[pogi70071]

Apple plans to reduce production of the iPhone line by 10 percent beginning in the first quarter of 2017, according to supplier data collected by Nikkei. Apple is said to have experienced a similar situation thanks to accumulated inventory of the iPhone 6s late in 2015, which also caused it to lower output of that smartphone in Q1 2016.

The company attempted to prevent the same thing from happening again with the iPhone 7 by curbing production quantities on the 2016 smartphone, but even with that preemptive move Apple is again looking at a manufacturing downturn for its flagship iPhone line in the new year.

In the report, Nikkei cites "sluggish" global sales for the iPhone 7 as the main reason behind the move. Because of this, the production cuts are expected to be focused on the iPhone 7 and iPhone 7 Plus.
Apple could have capitalized on Samsung's Galaxy Note7 problems earlier in the year, but according to a collection of analysts the iPhone 7 lacked "compelling" features and failed to garner interest in the new smartphone line. In September, Apple made the decision not to divulge the first weekend sales for the iPhone 7 and iPhone 7 Plus. Throughout the year, a "doom and gloom" sentiment has followed the company ever since it reported its first revenue decline in thirteen years.

Later in 2017, Apple will launch the next-generation iPhone, which is currently rumored to come in three different sizes, one of which will include a flexible OLED display with a bezel-free design. Rumors are still conflicting, however, with a report from Mac Otakara suggesting that next year's iPhone could be an iterative update on the design of the iPhone 7 with beefed up internals.

Article Link: Apple Will Reduce iPhone 7 Production By 10% in Early 2017 Due to 'Sluggish' Sales

What makes sense will be iPhone with 2 sizes. Same as iPhone 7 now but with 5inch display. The other is same size as iPhone 7plus now but 5.8inch display. No extra costs for moldings.

 

[WRChris]

Welcome to Canada where we have consumer protection laws. I can return whatever I want; and after trying it out, if I determine it to be garbage it goes back. You would have no leg to stand on. Plus a lowly retail sales associate on a poorly attempted power trip would not intimidate me in the slightest.

No power trip just not for free handouts. Says a lot your government needs to protect its citizens from purchases they did on their own free will. Should be buyers remorse protection law. What you mean is you can buy something, cut its value in half and then take it back and stick someone else with the bill. Pre purchase research is the only protection their should be.

"Plus a lowly retail sales associate on a poorly attempted power trip would not intimidate me in the slightest." Wow, you are condescending and apparently think you are above a "lowly" sales associate.

I never said I wouldn't accept your return, I said I would have fun with it. By that, I meant have fun listening to you weasel your way around trying to get something for nothing.

 

[2IS]

That's generally what happens when you release the same form-factor with little-to-no real world improvements in 2 years.

I love my 7+, and am glad I upgraded, but we haven't seen many ground-breaking improvements since the 6. The average consumer won't upgrade for features such as optical image stabilization.

Nor would they need to, considering even the 6 Plus had OIS

 

[trekkie604]

No power trip just not for free handouts. Says a lot your government needs to protect its citizens from purchases they did on their own free will. Should be buyers remorse protection law. What you mean is you can buy something, cut its value in half and then take it back and stick someone else with the bill. Pre purchase research is the only protection their should be.

"Plus a lowly retail sales associate on a poorly attempted power trip would not intimidate me in the slightest." Wow, you are condescending and apparently think you are above a "lowly" sales associate./QUOTE]

My government protects us from being taken advantage of by multi-billion dollar corporations. I have no problem with that. Nor do I have a problem with the small, let's overestimate big and say 10% of total sales get returned. They would lose a small fraction of those profits that to refurbish the product and re-sell. I have no problem with that either; their margins more than make up for that, plus it's probably built into the cost anyway (knowing uncle Tim, et. al)

Condescending perhaps, but I used to work retail and yes, I am better than they are now.

 

[WRChris]

My government protects us from being taken advantage of by multi-billion dollar corporations. I have no problem with that. Nor do I have a problem with the small, let's overestimate big and say 10% of total sales get returned. They would lose a small fraction of those profits that to refurbish the product and re-sell. I have no problem with that either; their margins more than make up for that, plus it's probably built into the cost anyway (knowing uncle Tim, et. al)

Condescending perhaps, but I used to work retail and yes, I am better than they are now.

Because someone gets paid less than you, you must be better than all of them? And again your ok with returns as long as you don't have to foot the bill. If you were an owner of a company that was in retail and 10% of returns were because of bogus returns you wouldn't be taking the positions you are now.

I wouldn't even want to open a business in a country that gives its citizens the right to buy my products and return them for no reason while sticking said business with return shipping and then refurbishing and repackaging and then trying to sell at a 20% loss

 

[Thor_1]

My government protects us from being taken advantage of by multi-billion dollar corporations. I have no problem with that

It's two different things. If a product says it will do x or perform x and it doesn't that is one thing. However if a product says it is missing x (in this case a headphone jack) you should not be allowed to return because it is missing a headphone jack.

Condescending perhaps, but I used to work retail and yes, I am better than they are now.

Glad you live in Canada.

 

[trekkie604]

It's two different things. If a product says it will do x or perform x and it doesn't that is one thing. However if a product says it is missing x (in this case a headphone jack) you should not be allowed to return because it is missing a headphone jack.

Glad you live in Canada.

I purchased the phone to try it out and see if using the dongles as a stop-gap would work for me. It didn't.

So do I. I'm glad I don't live in texas.
[doublepost=1483216632][/doublepost]

Because someone gets paid less than you, you must be better than all of them? And again your ok with returns as long as you don't have to foot the bill. If you were an owner of a company that was in retail and 10% of returns were because of bogus returns you wouldn't be taking the positions you are now.

I wouldn't even want to open a business in a country that gives its citizens the right to buy my products and return them for no reason while sticking said business with return shipping and then refurbishing and repackaging and then trying to sell at a 20% loss

Where did I say anything about what they are paid? Retail jobs are stopgaps.

That's fine, we have plenty up here already.

 

[Apple 26.2]

This is actually good news for us customers!

Maybe this will be a wake-up call for our Iteration King to head down the stairs screaming "Jony, put away your carvers and take that iPhone out of the hydraulic press - we need something different this time!"

Good news indeed - if Apple takes action. I don't immediately recall the demand for thinner, thinner, thinner... I know that design is part of the experience, but Apple must bring substance back to the table or average customers will go away.
[doublepost=1483217050][/doublepost]

By 10 iPhones?

I think she meant 10%

 

[GalaDaliGirl]

Tim Cook is destroying what was once a great company. Sad to see it all unravel at the seams.

He must be eradicated. The guy is not a technology visionary.

 

[ThisBougieLife]

Still think I made the right decision in avoiding the 2016 iPhone. I hope the 2017 one is OLED. If it's just a 7S, I may get that anyway because I'll need a new one by then...

 

[WRChris]

I purchased the phone to try it out and see if using the dongles as a stop-gap would work for me. It didn't.

So do I. I'm glad I don't live in texas.
[doublepost=1483216632][/doublepost]

Where did I say anything about what they are paid? Retail jobs are stopgaps.

That's fine, we have plenty up here already.

Maybe you should clarify by what "better" than them is referring to.

You intentionally buy these devices and know their capabilities and return them for no reason and justify it by saying they make enough money to cover the cost. You and I will not get any further with this conversation because you think you can decide how much money is enough for someone else. You obviously are self aware you are screwing someone over and are more than content about doing it. Luckily I have faith that other Canadians think differently.

 

[trekkie604]

Maybe you should clarify by what "better" than them is referring to.

You intentionally buy these devices and know their capabilities and return them for no reason and justify it by saying they make enough money to cover the cost. You and I will not get any further with this conversation because you think you can decide how much money is enough for someone else. You obviously are self aware you are screwing someone over and are more than content about doing it. Luckily I have faith that other Canadians think differently.

You said it yourself upthread, you had no issue with a buyer's remorse period. So I don't see how leveraging our laws is screwing someone else but thanks, have a good new year.

 

[TallManNY]

Anecdotally basically everyone I know bought the 6. I was one of few people I know who upgraded from the 6 to the 6s. I'm sticking with the 6s (partly this was due to headphone jack, though I got my AirPods on Thursday and I had used wireless before that as well). I know a few people who have gone from 6 to 7. But many others who are using the 6 just tell me that it is working fine and they see no need to upgrade. And one person I know has switched to Android and is now convinced that it is better. Turns all our group iMessage conversations into Green Bubbles. LOL.

But we also know that the 7 was hard to find for a very long time. So I'm sure it is selling just fine and I don't believe it is selling less than Apple thought it would sell. These articles never say "who" was expecting the sales to be at this higher level.

 

[cfedu]

Welcome to Canada where we have consumer protection laws. I can return whatever I want; and after trying it out, if I determine it to be garbage it goes back. You would have no leg to stand on. Plus a lowly retail sales associate on a poorly attempted power trip would not intimidate me in the slightest.

Are you sure about that? I'm pretty sure that no retailers are obligated to take back products that are not defective.

Returns and Refunds
Don't count on always being able to return a product you've bought, whether it's from a store or the Internet. There is no law that says all sellers must take back an item. It may not matter that you don't like it, decided you can't afford it or found it cheaper somewhere else.

http://www.ic.gc.ca/eic/site/oca-bc.nsf/eng/ca02478.html

 

[rillrill]

Does anyone else think this is less about the iPhone 7 sucking and more about the end of subsidies for smartphones? If you were use to paying 80ish bucks a month and yr bill went up $25 a month, you might be like, this iPhone 6 still works fine.