Conflict, Inflation Lead To Cuts In iPhone SE Production, Report Claims (itwire.com) 38
juul_advocate shares a report from iTWire: Apple's output of the iPhone SE will drop by a fifth in the coming quarter, indicating that the Russia-Ukraine conflict and fears of inflation have affected demand for the device, a report claims. The Nikkei Asia website reported that the company had been telling a number of suppliers that production orders for the next three months would be lower by about two or three million units. Orders for AirPods earphones were also down, by about 10 million units for the whole year, the website said, citing four unnamed individuals as sources. Apple announced the third-generation iPhone SE earlier this month at its "Peek Performance" event. It features the A15 Bionic chip, improved battery life, 5G connectivity, and a new camera system, among other things, for a starting price of $429.
interesting (Score:2)
Its interesting the cheap phone is going to have supply problems due to world events, but the expensive ass one's will keep flying out the door ... even though it uses more resources
True enough!! (Score:1)
True enough!
I am very border line autistic myself and listening to other's advice has saved me many times.
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Well, sure! Why not? It sounds like a very interpreting plan at first glance!
Not "profit margins" but simply "profits" (Score:2)
Higher priced phones have higher profit margins. Lower priced phones have lower profit margins.
No, not "profit margins" but simply "profits". The profit margin is often a percentage comparing the price to cost. With additional and more expensive components the profit margins may be the same yet the profits larger.
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At least when speaking generally. If you have actual number though
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Even further, profit margins are usually higher on cheap stuff.
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the expensive ass one's will keep flying out the door ... even though it uses more resources
Why do you think the expensive phone uses more resources?
Does it have thicker glass?
The higher price mostly just means a bigger profit.
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I get the point you are making, but you are also playing the straw man a bit.
The more expensive phones do genuinely have more stuff in them. For instance: the iPhone 13 lineup have more and better cameras, a larger and more advanced display (AMOLED vs LCD), more expensive materials in the housing (tougher glass, and more of it), wireless charging capabilities built-in, and a better cellular modem. All that extra s
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Even the iPhone SE 2020 has wireless charging. Neither the 2020 or 2022 models have "magsafe" charging, though.
Re: interesting (Score:2)
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Its interesting the cheap phone is going to have supply problems due to world events, but the expensive ass one's will keep flying out the door ... even though it uses more resources
More to the point, this actually WAS an exciting release in that it was an inexpensive phone (not cheap) -- the margins could be extra-low on this since the only 'big' differences were the camera and the size of the phone, over it's more expensive brothers.
What would have been nice is this getting real penetration and forcing other manufacturers to rethink their "update for a year or so" policy. They copy all of the dumb features and don't think to support old phones.
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An inexpensive phone is $100. A cheap phone is $50.
The one being discussed here is $430, or more realistically $500, once you buy all the separate dingledongles required for integration with exotic tech like "headphones" or a "charger".
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An inexpensive phone is $100. A cheap phone is $50.
The one being discussed here is $430, or more realistically $500, once you buy all the separate dingledongles required for integration with exotic tech like "headphones" or a "charger".
Cheap can mean poor quality as well as low price, where inexpensive refers only to the price.
I agree on the cost angle: an inexpensive phone is generally under $50. You can pay $200 for a smart phone and have a challenging time with core features. We are talking smartphones.
The snark about headphones and chargers noted, yet it only applies in an echo-chamber. This isn't 2013 where you could buy Klipsch S4i-II headphones/microphone for under $50 and beat out microphone quality of fancier equipment. Peo
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Its about demand, pain at gas pump and supermarket (Score:2)
Its interesting the cheap phone is going to have supply problems due to world events, but the expensive ass one's will keep flying out the door ... even though it uses more resources
Its about demand. The folks who buy the less expensive phone, the SE, are harder hit by the current economic crisis. In short the people feeling it at the gas pump and grocery store are postponing phone upgrades. Apple is adjusting to lower demand for this demographic.
Only Inexpensive Phone Cut? (Score:2)
Econ crisis hits less expensive buyers more (Score:2)
Problem more likely is: People wanted them over $1000 phones.
No, the more likely problem is demand. The people feeling it at the gas pump and the supermarket are postponing upgrades. There are more likely to be iPhone SE buyers than iPhone Pro buyers.
Welcome to the two class society (Score:1)
You've got the upper half buying $47k+ cars, $1k+ phones, and whatever the fuck insane price that houses go for these days.
Then you've got the lower half that looks at a $430 iPhone and thinks "Nope, still too expensive. I'll take the free Android phone, thanks."
That's why they're not selling well.
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And a part of that lower half that says "the SE 2022 is nice, but there's really not enough upgrades from my SE 2020 to justify the upgrade". If only they had added magsafe, that could have been the tipping point for a percentage of the potential buyers.
'Conflict'? (Score:2)
I know the article calls it that, but can we just say 'Russian aggression', like it is?
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I know the article calls it that, but can we just say 'Russian aggression', like it is?
Still too inaccurate and accommodating to Putin. Try 'Putin's attempt at imperial conquest'.