Apple Drastically Cut Its iPhone Orders For Next Quarter

CommanderFrank

CommanderFrank

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Apple either woefully overestimated the demand for iPhones this quarter or sales are beginning to fall because of stiff competition: Whatever the reason, the news that Apple will be cutting iPhone orders from suppliers spurred a 4% drop in Apple stock on Friday.

Jefferies analyst Peter Misek says iPhone orders were dropped to 25-30 million for the March quarter, down from the 35-40 million range, according to Forbes.
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Perhaps they are realizing they need to innovate? Except for the original iphone, it's been the same ole same ole all the way to iphone 5 with incremental evolutionary upgrades that everyone else already has. People are starting to notice. There isn't a need to upgrade to the iphone 5 if you have a 4 or 4s. Their upgrade platform has worked, up till now, but I think it is time for them to change things up, it apparently isn't working as well as it was. Adnroid phones are simply surpassing them in features and specifications. The only thing that can't be beat is the app store, but Android is coming closer.
 
I LOVE my iPhone 5, but im probably going back to Android next year. I have been doing 1 year ios -> 1 year android -> 1 year ios for the last 4 years.
 
Hello,

Not trolling, trying to start a flame war or any other internet knee jerk reaction. I am speaking on pure daily observation.

Brett hit on something there. Pretty much most smart devices on the market today do the same thing. Check E mail, Facebook, stocks, Sports scores, play music, or whatever. It doesn't matter of what the device is, it can do it. Chances are if the Apple store has it, Google store had it as well.

I also present the thoughts that Apple might be seeing a market that is becoming over saturated. As most of us in the US, most of everyday cell subscribers have subsidized phones. We have heard from the major carriers that along with tiered data plans being utilized, subsidized phones are going away as well. Even some are realizing they do not want to be tied down to a 1 or 2 yr contract. There are others that might realize the smart devices are cool and great and all but cannot afford or have a desire for them. These subscribers may represent a small portion of the larger picture. Apple could be seeing the bigger picture. Once these subsidies go away, people will think twice about upgrading or buying a new phone. If you had a family of 4 head into a Verizon or AT&T store and hear they are going to have to pay $2000 for new phones, chances are it is an end game. You are going to have a warehouse full of unshipped phones. That is going to cost money in building fees, employees, the product itself. Any company rather have products with short turn rates than long or none at all. The short term investors do not want to hear there was 5 million unsold phones sitting in warehouses.

I myself still use a HTC Incredible for my personal use. This phone is 2 or 3 years old and pretty much does the same thing as every other phone on the market does. It just doesn't have the latest and greatest but the GPS works fine and gets me to where I need to be every time. I can check every I need to just like a new one. When it comes time to upgrade, I will probably look into purchasing a device one generation behind but a considerable upgrade from what I would be using now.
 
Brent_Justice said:
Perhaps they are realizing they need to innovate? Except for the original iphone, it's been the same ole same ole all the way to iphone 5 with incremental evolutionary upgrades that everyone else already has. People are starting to notice. There isn't a need to upgrade to the iphone 5 if you have a 4 or 4s. Their upgrade platform has worked, up till now, but I think it is time for them to change things up, it apparently isn't working as well as it was. Adnroid phones are simply surpassing them in features and specifications. The only thing that can't be beat is the app store, but Android is coming closer.
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Original iPhone was an iPod with a phone radio attached, and it wasn't even good at it.
 
The market is just getting saturated and I think that are starting hold onto phones a bit longer. Like PCs, smart phones are starting to run out reasons to constantly buy new ones.
 
a bit off topic.. but i often wondered how ppl can get a new cell phone ever year? Wouldn't the contract hinder from doing so? I know the US is 2 year contract but that isn't an issue at all? I am assuming it is a hindrances in canada since we have 3 year contracts for the same price /shy
 
Maybe they are prepping for the supposed spring launch of the 5s?
 
Meanwhile i was getting a micro-SIM card and new contract for my soon arriving HTC Windows Phone 8S - and every table in the shop had a label on it saying "Sorry, we are not selling iPhone 5. Due high demand we are only serving preorders.". I don't think lower demand for iPhone 5 is the reason, more likely it is iPhone 5S.
 
Sly said:
Original iPhone was an iPod with a phone radio attached, and it wasn't even good at it.
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Right. I'm sorry but that's a load of shit. If it wasn't "good at it" then why do we have thinks like an App store? Despite the fact that Apple did copy its design from other competitors , the Apple design its-self is copied constantly by manufacturers.

Saying the original iPhone was merely glorified is missing the entire point of how big an impact it had on phones in general. There would be no Android OS more than likely without , we'd likely still be stuck in the mobile Windows OS era (please god no..) and Blackberry would still be on top.

So no matter how much you can hate the iPhone , it spurred competition which gave us all more choices overall and that should be remembered.
 
And this is coming from someone that has owned only 2 iPhones , 3 Android phones (currently using a Galaxy Nexus) and bunch of Nokia's.
 
hesho said:
a bit off topic.. but i often wondered how ppl can get a new cell phone ever year? Wouldn't the contract hinder from doing so? I know the US is 2 year contract but that isn't an issue at all? I am assuming it is a hindrances in canada since we have 3 year contracts for the same price /shy
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Just buy them outright. Contracts dont care what device your using.
 
........Aaaand it starts... *Rubs hands together* Bwahahah... BWAHAHAHAHAHA
 
hesho said:
a bit off topic.. but i often wondered how ppl can get a new cell phone ever year? Wouldn't the contract hinder from doing so? I know the US is 2 year contract but that isn't an issue at all? I am assuming it is a hindrances in canada since we have 3 year contracts for the same price /shy
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Resale value on international phones and iPhones is really high. At nearly 2 years old, my SGS2 sells for $300-$350 on Ebay still. I could sell it, get a Nexus 4, a bumper, a screen protector, and be out $50-$75 for the upgrade, all without entering a contract. I've known people much better at this than me. So you can upgrade annually at what seems like a subsidized price.
 
Skribbel's cat says:

sn1dvl.jpg
 
Godmachine said:
Right. I'm sorry but that's a load of shit. If it wasn't "good at it" then why do we have thinks like an App store? Despite the fact that Apple did copy its design from other competitors , the Apple design its-self is copied constantly by manufacturers.

Saying the original iPhone was merely glorified is missing the entire point of how big an impact it had on phones in general. There would be no Android OS more than likely without , we'd likely still be stuck in the mobile Windows OS era (please god no..) and Blackberry would still be on top.

So no matter how much you can hate the iPhone , it spurred competition which gave us all more choices overall and that should be remembered.
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I hate this mentality that if it wasn't for Apple or [insert god like company here] we would be stuck 15 years ago....or never would of had what we have today...

if it wasn't for phone makers before Apple then, Apple never would of got into the phone business :rolleyes:

Why not look back into the tablets of the 90;s from Sony.. Oh guess if it wasn't for Sony, Apple never would of made a touch based phone!

if Apple didnt do it, someone else would have
 
There does not seem to be a reasonable point at which people will declare a cell phone "too big" and Apple needs to get on this trend. I don't mind using a smaller phone, but people keep going bigger. Now it is almost impossible to find a decent phone under 4 inches right now, since everything up-sized. A couple years ago, a ~5 inch phone would have been blasted for being too large. Now just under 5 inch is pretty much accepted as normal for a good Android phone. I am sure the 2013 Android handsets will find ways to reduce the bezel and eek out more screen space. Apple can't be competitive forever if they only sell the smallest phone on the market.
 
ocellaris said:
Apple can't be competitive forever if they only sell the smallest phone on the market.
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I think the bigger issue is that the UI has grown by leaps and bounds on Android. While the look has changed, everything is still functionally identical. That helps when moving from Gingerbread to ICS/JB.

Visually, there has been close to zero change between iOS versions. Exact same icons from day one, just higher resolution. The homescreen design has been static... and is now completely stale. Sure, it helps because you're going from model to model and still know how everything works with no adjustment time... but there's been no improvement to the interface itself. Even something as simple as alphabetizing apps in the app drawer is something we take completely for granted on Android which remains a persistent chore (finding the apps in the midst of many icons) on iOS.
 
techrat said:
I think the bigger issue is that the UI has grown by leaps and bounds on Android. While the look has changed, everything is still functionally identical. That helps when moving from Gingerbread to ICS/JB.

Visually, there has been close to zero change between iOS versions. Exact same icons from day one, just higher resolution. The homescreen design has been static... and is now completely stale. Sure, it helps because you're going from model to model and still know how everything works with no adjustment time... but there's been no improvement to the interface itself. Even something as simple as alphabetizing apps in the app drawer is something we take completely for granted on Android which remains a persistent chore (finding the apps in the midst of many icons) on iOS.
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Yeah a bit of a UI shift would definitely help too. I don't think they need to make dramatic moves here, though some customization would be nice. And implementing some "live" icons would fix the embarrassing stuff like the weather icon sitting there with "73 degrees" on it 24/7 regardless of it you are sitting on the North Pole or Death Valley.
 
I don't like squinting at tiny ass screens. After I got used to my GS2 and picked up my Iphone 4 again I was like ... holy shit how did I see anything on this thing?
 
mrtheshaggy said:
I don't like squinting at tiny ass screens. After I got used to my GS2 and picked up my Iphone 4 again I was like ... holy shit how did I see anything on this thing?
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I have enough massive objects in my pants without adding a phone to the list. :D
 
Tudz said:
I have enough massive objects in my pants without adding a phone to the list. :D
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Let me guess, you keep your Das Keyboard in your trousers where it can help to hold up your fish tank filled with comet goldfish.
 
SkribbelKat said:
Let me guess, you keep your Das Keyboard in your trousers where it can help to hold up your fish tank filled with comet goldfish.
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What can I say, there's a lot of large and impressive hardware down there, no room for an excessively large smart phone as well ;)
 
MrGuvernment said:
I hate this mentality that if it wasn't for Apple or [insert god like company here] we would be stuck 15 years ago....or never would of had what we have today...

if it wasn't for phone makers before Apple then, Apple never would of got into the phone business :rolleyes:

Why not look back into the tablets of the 90;s from Sony.. Oh guess if it wasn't for Sony, Apple never would of made a touch based phone!

if Apple didnt do it, someone else would have
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Hate it all you want. I don't own any Apple products but 2 old iPhones , I don't like the Mac OS and I refuse to buy anything else from them (except an iPad for my Mom's birthday). Apple has had an impact , its just the way it is.

And as I mentioned everyone steals/copies off everyone else , I'm not giving Apple original credit I'm simply remarking they are apart of how the industry is shaped today because of the successful formula. You can't deny the success of the iPhone even if you hate it.
 
The apple hate on this forum is ginormous like some of the egos in here. Honestly sometimes its just really interesting to see what people who hate apple have to say. People always prefer something over something else for some odd reason some of you can't understand. But you make it your mission to make sure no one else likes something you don't like because what you prefer is the ONLY thing that anyone else would ever need. I have had more phones in the past 4 years than 99% of the people on this forum would care for and frankly iOS and Android are pretty much equal. Right now its really hard to say one is absolutely better than the other, because both have about the same problems as the others in different areas.
 
///AMG said:
The apple hate on this forum is ginormous like some of the egos in here. Honestly sometimes its just really interesting to see what people who hate apple have to say. People always prefer something over something else for some odd reason some of you can't understand. But you make it your mission to make sure no one else likes something you don't like because what you prefer is the ONLY thing that anyone else would ever need. I have had more phones in the past 4 years than 99% of the people on this forum would care for and frankly iOS and Android are pretty much equal. Right now its really hard to say one is absolutely better than the other, because both have about the same problems as the others in different areas.
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Oooo playing victim, i know! gimme a pony!
 
I am going to be forced into an Iphone early next year by the company I work for. It is either that or a Blackberry. My wife has the Samsung Galaxy s3, and I must say, it is one hell of a phone. I like the fact that for about 50 bucks, you can turn it into a 80gb mp3 player by adding a micro sd. That is the main thing I am not looking forward to with the Iphone, all the premiums and proprietary crap I will be forced into. Google's approach is much better, and I predict will win out in the end. Keep it open. Let your users cook up their own version of your OS, and customize a ton of features of the phone. Allow discussions on said subjects to be rampant on your board forums, and give them their own section. It is just a better way to do business..
 
Tudz said:
What can I say, there's a lot of large and impressive hardware down there, no room for an excessively large smart phone as well ;)
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You probably should stop letting other guys do that. The neighbors are talking. :p
 
Eh. Kind of interested in an iPhone 5. The GS3 hasn't really wowed me other than the screen. I feel like smart phones just aren't progressing fast enough to make upgrading every 2 years plausible.
 
xIronCrossx said:
Eh. Kind of interested in an iPhone 5. The GS3 hasn't really wowed me other than the screen. I feel like smart phones just aren't progressing fast enough to make upgrading every 2 years plausible.
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Same here. Up until a few weeks ago, I was still using an Inspire 4g that I gave hell and it still worked great until I dropped it in the lake. I got the new One X+ because of the amount of storage on it and because the camera took some pretty amazing pictures. There are phones with better cameras, but I really liked what the One X+ was offering and I have been a fan of HTC for a very long time. It will now take a new device to really wow me to make me pay full price for it or add another line which means not going to happen. I would have still had my Inspire if I did not drop it in the lake because it did everything I needed it to do which was email, text, and Pandora.
 
hesho said:
a bit off topic.. but i often wondered how ppl can get a new cell phone ever year? Wouldn't the contract hinder from doing so? I know the US is 2 year contract but that isn't an issue at all? I am assuming it is a hindrances in canada since we have 3 year contracts for the same price /shy
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Some companies Hesho, will give you an 'option' to try to lock you into their network longer of upgrading your phone when your contract is down to '1' of the '2' or '3' years left. Hey, pay $100.00 'upgrade' fee and extend your contract '1' more year (IE a new 2-year lease or 3-year lease) and we'll take your old iPhone and give you the latest iPhone. The advantage to the company is you then can't switch from say AT&T to Sprint for another 'x' years. No matter how bad their service/network/infrastructure might be.

Depending on the price if your cellphone plan, they might just give you the new phone if you give them back your old phone + extend the contract for a year or two with no upgrade free. The old phone is generally refurbed and sold for resale. A year old iPhone 4S will still sell pretty well. People buy iPhone4Ss today.
 
That or many people don't mind buying off contract or can wait a month or two in androids case for the price to drop significantly on Craigslist.
 
Cali3350 said:
Just buy them outright. Contracts dont care what device your using.
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It doesnt make any sense to buy a phone outright, unless you are on a prepaid carrier. WIth the exception of Tmobile no one will give you a break on the plan, so you are paying for the subsidy anyway why not get $400 off a phone?

Simply put, buy a phone out right and flush 10-20$ per month down the toilet.
 
Also alot of carriers would allow people to upgrade their contract at the new contract price early, it was common for sprint to do it at 1 year 4 months, on top of that alot of people could sell phones for close to the ETF.
 
The screens on the new wp and android phones are soooo much nicer than the iphones now... but things aren't changing much from release to release with the iphone and with so many other cheaper and very nice alternatives it's no doubt they're loosing some customers.
 
Why do people expect apple to innovate?
"innovate" is a word people throw around as if it were easy to do.

Phones have become like laptops. Nothing new gets introduced except higher resolution screens, lighter weight, bigger hard drive, faster processors.
Overall, it's the same ol same old.
 
revenant said:
The screens on the new wp and android phones are soooo much nicer than the iphones now... but things aren't changing much from release to release with the iphone and with so many other cheaper and very nice alternatives it's no doubt they're loosing some customers.
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If by nicer you mean bigger, than yes.
 
Um its not like apple makes screens anyway, they buy them from LG and the likes if apple didnt "INNOVATE" lol the retina display someone else would have bought it and "INNOVATED". The only reason apple even went down that path is because samsung would not sell them OLED. Second the only reason apple looked like an innovator was because it was, ya you guessed it apple that was holding display tech back for years, their popular phones were selling despite having low res screens and others started to follow. At the same time very nice high res options were available on other devices. Its kinda funny how apple is so capable of claiming it did something it fought against or held back just a year before. I also blame apple for the dissapearance of keyboards and stylus. You sell a ton of a phone and others look and say look you can make just as much money off a cheaper device with less features why bother?
 
rudy said:
Um its not like apple makes screens anyway, they buy them from LG and the likes if apple didnt "INNOVATE" lol the retina display someone else would have bought it and "INNOVATED". The only reason apple even went down that path is because samsung would not sell them OLED. Second the only reason apple looked like an innovator was because it was, ya you guessed it apple that was holding display tech back for years, their popular phones were selling despite having low res screens and others started to follow. At the same time very nice high res options were available on other devices. Its kinda funny how apple is so capable of claiming it did something it fought against or held back just a year before. I also blame apple for the dissapearance of keyboards and stylus. You sell a ton of a phone and others look and say look you can make just as much money off a cheaper device with less features why bother?
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Lol, Ok there are a few valid arguments. But the pen and stylus one not so much. The Galaxy Note 2 doesnt sell anywhere near the S3 or iPhone. Also most people that I know of dont buy the note for the pen and rarely use it. May differ from other people but thats my observation. Also with the screen, apple didnt really hold it back at least not in my observation. Samsung came out with the Galaxy S with the 800x480 AMOLED screen, same year apple came out with the iPhone 4 with their so called "retina" 640×960 IPS, 20 days later I might add. Before that it was 320-by-480 for the old iPhones, which by standards back then were pretty damn good specifically when the first android phone the HTC Dream used the same resolution a year later. I really do know how you can say they are the ones that fought against higher resolution. Specifically since for YEARS no one bothered to really market and push High-res displays on laptops, and we are still stuck with most laptops being 1366x768 and calling it HD. When an Apple MBP has higher resolution than my Dell U2711H that cost me 1K when I bought it in a damn laptop with decent specs. But now, you can say they are kind of lowering the bar for screen resolution since the DNA came out with a door busting 1080P screen. But before for a while the iPhone 4 had the Highest-res display in a smart phone period. Tech changes, and every company is always a little cautious to adopt. Apple seems to be pretty damn good at marketing tech old or new for mass adoption where others can't. They also seem to be the one everyone was following up until a while ago. The iPhone 5 may not be the fastest in raw performance in every metric, but it is damn good in all of the things it does. The S3 is the same in that regard, though samsung seem to have spent more on the BoM to make the S3 the stick that all other smartphones are supposed to be measured by. (IMHO though, Snapdragon S4 Pro over Samsungs Exynos. Apples A6 for graphics prowess over everyone yet. Nokia for their sensor and optics hands down. iOS at the moment for battery life.)
 
You need a history lesson, look up the pixel density and total resolution of the touch pro and touch pro2, I am sure they were not alone I only know of them because I or a family member owned them. You are specifically stating my point, the Galaxy S released long after the touch pro 2 and only had the same resolution, but you have to give the galaxy S a little pass because they were actually innovating by bringing the earliest OLEDs to market surely OLED tech was not to the point yet of high resolution high production, and they could hinge on the contrast ratio, but LCDs were perfectly capable of high resolution. Yet apple didnt give a shit. Everyone saw this and noticed that apple was pushing millions of units and said, why bother? Apple taught companies how to sell less as more, and everyone wanted a piece of that pie. It came to a point where a couple years there there was not one single new phone with a stylus, keyboard, or high res display on some carriers thanks to apple.

I repeat apple buys hardware they cannot innovate it, the reason pixel density became an issue has way less to do with apple and way more to do with samsung. See now that LG and other high end LCD makers see OLED coming and knocking on their door they started to be forced to compete harder and they needed a reason to justify LCD tech. So one of the first moves they did was try to bring IPS down in price, second increase DPI. Now they just have to sell it. Obviously apple being one of the richest will be willing to pay the highest price for the newest displays, so they lock in the exclusive contracts as long as they contract is not with someone who directly competes / wants to kill apple like samsung.
 
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