Reports out of iPhone component makers in Taiwan indicate that Apple might have something of a deflating surprise coming in January. It seems sales of the iPhone 7 may not quite be living up to expectations.
Which isn’t to say the iPhone is a flop — just that its sales are more solid than super.
The data to support this comes care of some Taiwan-based iPhone component makers that claim their revenue is taking something of a beating because iPhone sales have been weaker than anticipated. According to the report, 19 separate firms are now “struggling to boost earnings” in the face of lukewarm iPhone sales. The firms affected include both smaller firms and major global players such as Foxconn and Largan Precision.
As a whole, the gang of 19 has seen revenue drop 0.4 percent between 2015 and 2016.
Experts are quick to point that out as a lone data point — the information might not be meaningful — though this is not the first data indicator that points to Apple having a more sluggish experience with the iPhone 7 than some had anticipated.
Analyst Ming-Chi Kuo observed in a research note published within the last few weeks that iPhone sales may be suffering on dual fronts: lower Chinese demand and no planned refresh of the iPhone SE.
In any event, the world will know for sure when Apple tells us — during their holiday quarter earnings release in early January.
We’ll keep you posted on the tea leaves readings until then.
We’re always on the lookout for opportunities to partner with innovators and disruptors.
Learn More