Apple has continued to have a limited production run of iPhones in the quarter ending June. According to the Nikkei business daily this will be the second quarter that Apple will run reduced production of its main bread and butter – the iPhone. Practically it means that not is well behind Apple's Walled Garden of Delights. It also suggests that the iPhone SE is as pants as we expected.
For those who came in late, Apple re-released its iPhone 5S with a slightly better chip and called it the SE. This old design was tiny incomparison to later models and clearly out-of-date. This has been a bad time for Jobs' Mob the Nikkei reported in January that the technology giant was expected to cut production of its iPhone 6s and 6s Plus models by about 30 percent in the quarter ended March, but production was expected to return to normal in the current quarter. Clearly it didn't and the SE failed to interest anyone.
Apple's shares fell 1.8 percent to $110.05 and some of its partners went the following way. The production cut could last longer than the one it implemented in 2013, when Apple cut production orders for its cheaper iPhone 5C a month after its launch.
Apple has told parts suppliers in Japan and elsewhere that it will maintain the reduced output level in the current quarter, the Nikkei report said.
In January, Apple said it expected a fall in revenue for the quarter ending March - its first forecast for a revenue drop in 13 years - as the critical Chinese market showed signs of weakening. It also reported the slowest-ever increase in iPhone shipments.