Apple suppliers concerned about high iPhone prices

iPhone prices for the new models announced on September 12, 2018, are worrying for Apple’s suppliers. Starting at $749, they could go as high as $1,099 for the largest iPhone Xs Max. $1,449 plus tax is the most expensive iPhone one can get from Apple, and that’s not a good thing, according to reports. Manufacturers in the Apple supply chain are uncertain about their sales outlook for Q4 2018.

Industry sources claim the reasons for the concern are the aforementioned high iPhone prices, which could affect sales performance for the phones. TrendForce believes that the iPhone Xs and Xs Max models are priced “higher than market expectations” and could jeopardize sales momentum.

Sources cited by Digitimes also claim that Foxconn Electronics and Pegatron, the iPhone manufacturers, could see their Q4 2018 numbers “seriously affected” if iPhone Xs and Xs Max sales are underperforming due to the high iPhone prices.

The report also notes that supply chain manufacturers usually worry about production capacities. However, this year, that seems to not be the case.

“The supply of key components is unlikely to become tight this time because some parts used in the previous older generations of iPhones can still be used by the new models as there are not major differences in hardware specifications”, sources claimed.

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Anton D. Nagy
Anton is the Editor-in-Chief of Pocketnow. As publication leader, he aims to bring Pocketnow even closer to you. His vision is mainly focused on, and oriented towards, the audience. Anton’s ambition, adopted by the entire team, is to transform Pocketnow into a reference media outlet.