Apple may close production of the iPhone 12 mini in the second quarter of 2021. This is stated by analyst William Young of JP Morgan Chase, reports Business Insider.
According to him, Apple is going to revise orders for the iPhone 12 series, since the real demand was not what the company expected. Mr. Young claims that Apple will reduce the production of two models from the new line at once: the base iPhone 12 will be produced 9 million units less, and the iPhone 12 mini will be ordered 11 million less.
However, there is no need to talk about Apple’s failure, since the production capacity will be occupied by the assembly of other models: the iPhone 12 Pro Max will be produced immediately by 11 million more units, the iPhone 12 Pro by 2 million units, and the iPhone 11 has been ordered more by 8 million units. That is, they will reduce by 20 million pieces, but will increase by 21 million.
It looks like the concept of a small smartphone turned out to be a failure:
Given that demand for the iPhone 12 mini has been weak, the supply chain may end production of the phone in the second quarter of 2021.
Analyst JP Morgan Chase
It’s hard to say what exactly was the reason for the failure of the iPhone 12 mini. Most likely, this is a symbiosis of several factors at once: price and low autonomy. Apparently, many buyers are wondering why they should pay so much money for a small device when you can add a little bit and buy a larger iPhone.
Perhaps Apple should have made the iPhone 12 mini less advanced? Without 5G, and not as powerful as the Apple A14. However, we all know that, in Apple’s philosophy, a mid-range device is the iPhones of yesteryear: if you want cheaper, buy an iPhone XR or 11. Excellent devices that have become one of the most popular smartphones in the world.
However, do not take the discontinuation of production in the second quarter as the end of the iPhone mini’s journey. The fact is that the second quarter ends in June (unless we are talking about the fiscal quarter, the end of which will be March 31, although William Young did not make such clarifications). During this time, Apple could produce the iPhone 12 mini with a future headroom and quietly enter the next generation iPhone production line, which is likely to be more balanced.
By the way, according to Young, Apple plans to sell from 80 to 90 million iPhones of the next generation, which is 12-4 million more than the production plan of the iPhone 14 series. But the iPhone from the iPhone SE line should not be expected this year. But the analyst disagrees with this information Min-Chi Kuo:
Ming Chi’s track record makes you believe him. Therefore, we are waiting for a new iPhone from the middle segment this spring. It is assumed that this will be the reincarnation of the iPhone XR: a new processor, a Touch ID sensor in the power button, a 6,1-inch screen. But what will become of the “monobrow” is still unknown to us. We expect release sometime on April 13th.