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Low popularity of iPhone 12 mini forced Apple to cut production by 70%
Last fall, Apple unveiled the iPhone 12 mini with a 5.4-inch display, hoping to win over the lovers of compact smartphones and give them a device with support for 5G networks. The initiative was not backed by a reasonable pricing policy, and now sources say that in the current half of the year, the model’s production volumes may decrease by 70%.
Image source: ZDNet
Such information is disseminated by the Japanese resource Nikkei Asian Review with reference to its own sources. According to them, some component suppliers even received an offer from Apple to temporarily suspend the release of components for the iPhone 12 mini, or to reorient some of the orders for supplying the production of larger models of the family. The demand for the latter remains at an acceptable level, but in this case, Apple is going to adjust the production program for the first half of the year downward. Collectively, Apple expects to receive 20% fewer smartphones from contractors in the first half of the year than it expected in December. In absolute terms, this number corresponds to approximately 75 million copies.
Tellingly, the production program for the entire 2021 has not yet undergone any correction — the company still expects to sell about 230 million smartphones, which is 11.6% more than last year. In the fourth quarter, according to some sources, only 10-15% of demand fell on the iPhone 12 mini. Some experts even state that the release of the model could be discontinued in the second quarter of this year if Apple does not dare to lower the current price ($ 699).
For this money, analysts explain, many buyers prefer to purchase a larger 11 series smartphone if they do not need support for 5G networks. Working in them quickly depletes the charge of the standard battery, and it has a limited capacity in the iPhone 12 mini due to its compact size. This is also one of the reasons for the low popularity of the younger model of the family. Along the way, it is noted that the announcement of two new MacBook models based on a proprietary processor Apple postponed from May or June to the second half of the year.