Barely a month has passed since it was launched commercially, but the iPhone XR does not look good for Apple . The relationship between its price and features offered seem to have sentenced the firm’s “economic smartphone.” And the signs that the role of the iPhone XR will not be the expected begin to surface, no matter how hard the apple firm try to cover figures from their next quarterly economic results.
It was expected to be the disruptive model in the Apple catalog . That approach to the whole world the concept implanted a year ago by the expensive iPhone X. However, the reality begins to differ with the initial forecasts, both of the company and of the main and most important analyst firms in the market.
The effects reach Wall Street
Although during the first weeks of life of the iPhone XR the auguries began, the position of Apple regarding not announcing the number of iPhones sold from now on and the latest predictions of JPMorgan and the very Ming-Chi Kuo, analyst specialized in the Follow-up of the Americans, have served as a corrective in the stock market.
And it is that the titles of the technology have plummeted more than 5% throughout today to be placed at just $ 194 per share . A dangerous trend if we consider that so far this month the stock market value of the firm has deflated from $ 222.
30 million less than iPhone XR
What is the origin of this misstep? We could say that it is a bunch of factors, among which you can see some key points.
The most immediate, the alarm voice generated by heavyweights in the Wall Street market. In general, the predictions of the analysis firms and their corrections. Ming-Chi Kuo himself has released a note to investors stating that he expects the sales of the iPhone XR , one of the company’s strongholds for the next academic year, to be considerably burdened.
As well as to apply a strong correction in their reports and indicate that of the expected sales for the iPhone XR during its first year of life, initially set at around 100 million , are now set at around 70 million .
Deceleration in production chains
While part of this result is due to the acceptance of the iPhone XS and iPhone XS Max over the iPhone XR , the competition in the market, especially in Asia, also notes its effects in Apple stores. Here it is worth asking what is the limit of an iPhone user to dispense with iOS before other proposals.
These predictions are added to those that recently jumped to the present of the sector. Those from the Asian Nikkei and that uncovered that Foxconn had not resorted to the opening of 15 additional assembly lines at the request of Apple.
An adjustment in production that is supported by the recent announcement of Lumentum Holdings , the company responsible for providing Apple with the main components of its 3D face recognition system , Face ID . It has indicated that its main customer has cut the volume of orders for the coming months. An indicative that has dragged the manufacturer with a 31% drop in the stock market and then Apple, with the mentioned 5.
So, everything points to the future of the iPhone XR is in question and it seems that Apple is resisting the development of a balanced iPhone, which is no longer economic.