iPhone 8 Production Said to Drop Significantly Given Popularity of iPhone 8 Plus and iPhone X

With fewer major selling points and given a consumer preference for the iPhone 8 Plus and iPhone X, Apple analyst Ming-Chi Kuo expects iPhone 8 production to see a 50-60 percent sequential decline this quarter.

iphone x vs 8 compare
In his latest research note for KGI Securities, obtained by MacRumors, Kuo said the lower-than-expected iPhone 8 demand could result in fewer orders for Apple supplier Pegatron, which assembles the iPhone 8 in Taiwan.

Pegatron — iPhone 8 production to decline 50-60% QoQ in 1Q18F on lower-than-expected demand: With fewer major selling points and given a consumer preference for iPhone 8 Plus on a limited price gap, we expect iPhone 8 production orders to see 50-60% QoQ decline in 1Q18F, potentially shrinking Pegatron's utilization rate. But considering new iPhone orders may become more diverse (compared with a single model of iPhone 8 in 2H17), and assuming the new models will come with more compelling features than iPhone 8, we are positive on Pegatron's growth momentum in 2H18F.

Just this week, research firm Canalys said the iPhone 8 Plus outpaced the iPhone 8 last quarter with shipments of 6.3 million units versus 5.4 million units respectively. Canalys said the iPhone 8 Plus is the first Plus-sized iPhone to out-ship its smaller 4.7-inch sibling in a single quarter.

Apple doesn't disclose iPhone sales on a model-by-model basis, but chief executive Tim Cook said the iPhone 8 Plus has "gotten off to the fastest start of any Plus model," which came as "a bit of a surprise" to the company.

Kuo remains positive about iPhone X demand, and estimates production will rise 35-45 percent this quarter compared to last quarter, which should help to alleviate supply constraints heading into the holiday shopping season. The device still has a 3-4 week shipping delay online, with limited in-store availability.

Kuo said Apple's primary manufacturer Foxconn will convert its iPhone 8 Plus production lines into iPhone X lines in late 2017 to fulfill additional orders. Still, Apple is unlikely to achieve supply-demand balance until 2018.

Related Forum: iPhone

Top Rated Comments

Avieshek Avatar
59 months ago
Back to having one model only. One Size, One Storage, One Price.

Back to Steve Jobs' Simplification. The reality is the pricing than options withholding people, 2nd-hand or older models are bringing transparency to the very fact.
Bring back the 17" MacBook, price it same as the smaller screen sizes, than look at the response. iPad Air & iPad Pro-Pra-Pre-Pru is illogical nonsense for profitary greed. In addition, just have one storage tier but of maximum capacity affordable by the technological limitations of the time, ex- the Classic iPod is classic for a reason.
Score: 28 Votes (Like | Disagree)
Goldfrapp Avatar
59 months ago
Wait till iPhone X Plus next year though...
Score: 25 Votes (Like | Disagree)
iName Avatar
59 months ago
As they should. Wouldn’t make sense for it be have the same production level as something much higher in demand.

Honestly if you’re in the market for the 8 save yourself the extra $120 and get a 7 instead. The differences are basically nonexistent.
Score: 24 Votes (Like | Disagree)
djcerla Avatar
59 months ago
Ming-Chi Kuo greatly dropped the ball with multiple reports of “iPhone X production problems” that would render the device “unavailable until February”.

No longer a reliable source.
Score: 23 Votes (Like | Disagree)
iapplelove Avatar
59 months ago
Not so sure . The X price point and moving away from touchid is not for everyone . The iPhone 8 is a very nice unit

Just can't see people deciding to get a X over the 8 all the sudden.... it's £300 more..... that is a very large amount .
Trust me, Face ID is everything Apple said it would be but better. No need to be afraid anymore lol
Score: 22 Votes (Like | Disagree)
fokmik Avatar
59 months ago
Its normal since the X is the future of the normal iPhone ! The future of the Plus is coming next year
Score: 20 Votes (Like | Disagree)

Popular Stories

iPhone 14 Purple Lineup Feature

Will the iPhone 14 Be a Disappointment?

Saturday May 21, 2022 9:00 am PDT by
With around four months to go before Apple is expected to unveil the iPhone 14 lineup, the overwhelming majority of rumors related to the new devices so far have focused on the iPhone 14 Pro, rather than the standard iPhone 14 – leading to questions about how different the iPhone 14 will actually be from its predecessor, the iPhone 13. The iPhone 14 Pro and iPhone 14 Pro Max are expected...
apple ar headset concept 1

Apple's Headset Said to Feature 14 Cameras Enabling Lifelike Avatars, Jony Ive Has Remained Involved With Design

Friday May 20, 2022 6:50 am PDT by
Earlier this week, The Information's Wayne Ma outlined struggles that Apple has faced during the development of its long-rumored AR/VR headset. Now, in a follow-up report, he has shared several additional details about the wearable device. Apple headset render created by Ian Zelbo based on The Information reporting For starters, one of the headset's marquee features is said to be lifelike...
sony headphones 1

Sony's New WH-1000XM5 Headphones vs. Apple's AirPods Max

Friday May 20, 2022 12:18 pm PDT by
Sony this week came out with an updated version of its popular over-ear noise canceling headphones, so we picked up a pair to compare them to the AirPods Max to see which headphones are better and whether it's worth buying the $400 WH-1000XM5 from Sony over Apple's $549 AirPods Max. Subscribe to the MacRumors YouTube channel for more videos. First of all, the AirPods Max win out when it comes ...
apple music

Apple Increases Apple Music Subscription Price for Students in Several Countries

Sunday May 22, 2022 1:57 am PDT by
Apple has silently increased the price of its Apple Music subscription for college students in several countries, with the company emailing students informing them their subscription would be slightly increasing in price moving forward. The price change is not widespread and, based on MacRumors' findings, will impact Apple Music student subscribers in but not limited to Australia, the...
iPhone 13 Face ID

'High-End' iPhone 14 Front-Facing Camera to Cost Apple Three Times More

Monday May 23, 2022 7:05 am PDT by
The iPhone 14 will feature a more expensive "high-end" front-facing camera with autofocus, partly made in South Korea for the first time, ET News reports. Apple reportedly ousted a Chinese candidate to choose LG Innotek, a South Korean company, to supply the iPhone 14's front-facing camera alongside Japan's Sharp. The company is said to have originally planned to switch to LG for the iPhone...