Apple sees slow iPhone X sales, cuts forecast — could a price cut save it?
Investment houses do not like what they see about the iPhone X as it rounds the bend into its third full month on the market. Disappointing sales forecasts and one big whiff of a rumor for the $1,000 iPhone depressed stock market activity and sunk AAPL shares by 2.5 percent today.
One of the firms putting out its views is JL Warren Capital which claimed that the iPhone X would only muster 30 million shipments in calendar Q4 — a number that’s becoming something of a consensus on Wall Street — and 25 million in Q1. Sinolink Securities claims that the current pricing strategy is a deterrent to most smartphone shoppers around the world.
It’s this perceived weakness in demand for super-premium phones that Taiwan’s Economic Daily News reported on Sunday that Apple has cut its internal shipment goal for the iPhone X by 40 percent to 30 million units. Apple stated that it does not comment on market rumors, so we can’t know for sure how it will battle not just speculation, but a potential quicksand pit in market confidence.
Perhaps it will take a route it has never trodden down before: a mid-cycle price cut. Sources in the semiconductor and product testing industries have tipped off to Digitimes that Apple is considering a price adjustment to its existing new iPhone products early next year, though we don’t have a single detail to share on that. This is in addition to continuation in its development of three new iPhones for the fall.
Those sources also agree with a shipments forecast range of 30 million to 35 million for the iPhone X. If even the insiders agree with the moneymakers, this will be a tough hill to climb for Infinity Loop come the conference call.
So, what’s your make or break price for an iPhone X if you were interested in getting one? And do you think Apple might come to it if the company ever were to pull a stunt like that? We’d love to hear your feedback.