News & Information for Technology Purchasers NewsFactor Sites:       NewsFactor.com     Enterprise Security Today     CRM Daily     Business Report     Sci-Tech Today  
   
Home Enterprise I.T. Cloud Computing Applications Hardware More Topics...
GET RECOGNIZED
Let an ISACA® certification elevate your career.
Register today and save
You are here: Home / Mobile Tech / Apple Cuts iPhone 5C Supply Orders
DDoS Protection Powered By Verisign
Apple Cuts Supply Orders for Not-Cheap-Enough iPhone 5C
Apple Cuts Supply Orders for Not-Cheap-Enough iPhone 5C
By Seth Fitzgerald / NewsFactor Network Like this on Facebook Tweet this Link thison Linkedin Link this on Google Plus
PUBLISHED:
OCTOBER
16
2013


Apple is now having to cut back supply orders for the iPhone 5C due to the phone's lack of appeal among buyers. Based on Apple's own sales numbers, the iPhone 5S is selling at twice the rate of its plastic-backed and slightly cheaper iPhone 5C.

While sales are low in the U.S., Apple is really struggling to push out the iPhone 5C to buyers in other countries. Unfortunately, the iPhone 5C was intended to be Apple's gateway into overseas markets, but it has failed to be that so far.

High Price, Low Sales

The apparently critical flaw with the iPhone 5C is its price. Instead of coming in far below the cost of Apple's premium iPhone 5S, it was released at a relatively close price point. Although the device is great for people who want a plastic or colorful phone, it is not providing a "cheap" way to have access to the iOS ecosystem, which is what many customers want.

Analysts have not been surprised by Apple's decision to cut back on its production orders.

"As far as emerging markets, the 5C is simply not cheap enough to gain traction with customers that can buy $150 Android devices," said Morningstar analyst Brian Colello.

Bloggers and analysts in China have repeatedly made accurate predictions regarding the iPhone 5C and how its price would affect sales. Within hours of the iPhone 5C's price being announced, it was clear to most people that the phone would not be Apple's solution to its developing-market problem.

iPhone 5S Is Winning

While Apple did not win over the market with the iPhone 5C, its latest round of new phones were not completely unsuccessful. The high-end iPhone 5S is selling twice as fast as its cheaper brother and is doing quite well in the usual U.S., European, and now, Asian markets.

To many analysts' surprise, the iPhone 5S has actually been the successful iPhone in Asian countries, specifically China. For the people who are able to afford it, the 5S is the better choice considering that it barely costs any more than the 5C.

It may well be the fact that releasing two completely new devices is what killed off the iPhone 5C's potential for success. Some analysts are now assuming that saturation of the iPhone market is the leading cause of the public's lackluster interest in the 5C.

According to Foxconn executives, Apple is raising its production orders for the iPhone 5S at the same time as it decreases its request for 5C units. This makes sense considering how overwhelmed Apple stores and authorized retailers were on the new iPhone's launch date. In the end, Apple's general iPhone sales predictions for the rest of 2013 will likely stay accurate. However, the bulk of those sales will be coming from the 5S, and less will come from the cheaper iPhone 5C.

Read more on: iPhone 5C,
Tell Us What You Think
Comment:

Name:

Like Us on FacebookFollow Us on Twitter
TOP STORIES NOW
MAY BE OF INTEREST
Salesforce.com is the market and technology leader in Software-as-a-Service. Its award-winning CRM solution helps 82,400 customers worldwide manage and share business information over the Internet. Experience CRM success. Click here for a FREE 30-day trial.
MORE IN MOBILE TECH
Product Information and Resources for Technology You Can Use To Boost Your Business

Network Security Spotlight
Dairy Queen Latest Retailer To Report Hack
Known for its hot fries and soft-serve ice cream, Dairy Queen just made cyber history as the latest victim of a hack attack. The fast food chain said that customer data at some stores may be at risk.
 
Lessons from the JPMorgan Chase Cyberattack
JPMorgan Chase is investigating a likely cyberattack. The banking giant is cooperating with law enforcement, including the FBI, to understand what data hackers may have obtained.
 
Who Is the Hacker Group Lizard Squad?
Are they dangerous or just obnoxious? That’s what many are wondering about the hacker group Lizard Squad, which tweeted out a bomb threat that grounded a flight with a Sony exec aboard.
 

Enterprise Hardware Spotlight
Intel Intros Lightning-Fast PC Processors
Call it extreme. Intel just took the covers off its first-ever eight-core desktop processor, which is aimed at hardcore power users who expect more than the status quo from their computers.
 
HP Previews ProLiant Gen9 Data Center Servers
Because traditional data center and server architectures are “constraints” on businesses, HP is releasing new servers aimed at faster, simpler and more cost-effective delivery of computing services.
 
Apple Set To Release Largest iPad Ever
Tech giant Apple seems to have adopted the mantra “go big or go home.” The company is planning to introduce its largest iPad ever: a 12.9-inch behemoth that will dwarf its largest existing models.
 

Mobile Technology Spotlight
Samsung Maps Its Way with Nokia's 'Here' App for Galaxy Phones
Korean electronics giant Samsung has opted to license Here, Nokia’s mapping app -- formerly known as Nokia Maps -- for its Tizen-powered smart devices and Samsung Gear S wearable.
 
Will iPhone Finally Catch Up with NFC Mobile Payment Ability?
Apple's latest version of the iPhone may have a mobile wallet to pay for purchases with a tap of the phone. The iPhone 6 reportedly is equipped with near-field communication (NFC) technology.
 
Visual Search To Shop: Gimmick or Game Changing?
Imagine using your phone to snap a photo of the cool pair of sunglasses your friend is wearing and instantly receiving a slew of information about the shades along with a link to order them.
 

Navigation
NewsFactor Network
Home/Top News | Enterprise I.T. | Cloud Computing | Applications | Hardware | Mobile Tech | Big Data | Communications
World Wide Web | Network Security | CRM Systems | Microsoft/Windows | Apple/Mac | Linux/Open Source | Personal Tech | Press Releases
NewsFactor Network Enterprise I.T. Sites
NewsFactor Technology News | Enterprise Security Today | CRM Daily

NewsFactor Business and Innovation Sites
Sci-Tech Today | NewsFactor Business Report

NewsFactor Services
FreeNewsFeed | Free Newsletters

About NewsFactor Network | How To Contact Us | Article Reprints | Careers @ NewsFactor | Services for PR Pros | Top Tech Wire | How To Advertise

Privacy Policy | Terms of Service
© Copyright 2000-2014 NewsFactor Network. All rights reserved. Article rating technology by Blogowogo. Member of Accuserve Ad Network.