Apple reportedly cancels production boost for the iPhone XR

Apple reportedly cancels production boost for the iPhone XR

Apple's iPhone XR was the third model the company unveiled in September.

Apple has reportedly shelved plans to expand iPhone XR production, with claims that demand for the more affordable smartphone has underwhelmed.

According to reports, Foxconn had planned 60 production lines for the iPhone XR, but now only 45 of them are being implemented - a reduction of 25 percent. It's possible iPhone XR demand isn't meeting Apple's expectations, but exactly the reason that's happening is hard to determine. The phone starts at $749. The XR model borrows its looks from the iPhone X and features an all-screen glass and aluminum design with a 6.1-inch Liquid Retina LCD display.

Pegatron the Taiwanese manufacturer company has also stopped the production plans of the iPhone XR. While other, pre-launch supply-chain reports had even suggested that at one point, Apple was preparing to boost production of the mid-range handset by as much as 50 percent based exclusively on higher-than-expected sales outlook. According to Nikkei, this means that Foxconn will be producing almost 100,000 units less every day based on the new forecasts available. Taiwan-based assembler Pegatron Corp fell 5 per cent and rival Hon Hai Precision Industry Co Ltd (Foxconn) dropped 3.6 per cent. Apple is widely considered the biggest customer for Foxconn. This is not the first time, five years ago, when Apple launched the iPhone 5C with plastic back, it had cut production orders a month after its launch, which fuelled speculation of weak demand for the model.

Of course, given how new the iPhone XR is, along with the fact that Apple recently made a decision to withhold its quarterly iPhone sales figures, we may never actually know how well or how poorly an iPhone model is selling again. Other reason might be that Apple doesn't want investors and customers to keep on waiting for another successful 2015 when the company reached 231.22 million units sold. On the other hand, the iPhone XR did not appeal to the consumers as much as the company thought it would.

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