Apple Cutting iPhone 5c Production in Half

The iPhone 5c is barely a month old but Apple is already cutting production of the device. The Cupertino, Calif.-based company said it will be moving from 300,000 units to 150,000 units per day. It appears that part of the reason behind the production cuts is because there are simply too many units still readily available. The high availability of 5c devices remain despite the fact that prices for the devices have been dropping steadily.

Best Buy is one retailer that has been offering up the iPhone 5c for discounted prices, but it is far from the only way to get a cheaper model. Even gray market pricing in places like China are seeing these models heavily discounted. According to Unwired View, the unofficial gray market price is about half of what the official price is for the phone in China. Some sources have apparently even seen the iPhone 5c sell for less than a third of its regular retail price.

Image via ABC News

Part of the problem appears to be that the 5c is far easier to find than the higher end 5s. It is possible that Apple shot itself in the foot by billing the 5c as the cheaper model and the 5s as the one that everyone was going to want. The public bought into that approach so completely that the demand for the cheaper model has come in under Apple’s estimations.

Rumors about a 4.8-inch iPhone probably haven’t helped demand either. The veracity to the claims that an iOS phone with a bigger screen is actually coming have been questioned recently. Whether or not they are true, it seems as if those rumors have affected desire for the 5c. Of course, any worries over Apple overestimating popularity of their colorful smartphone could be baseless.

Another explanation for the production cut could be as simple as the company regressing to the norm. It is possible that Apple ramped up initial production in order to meet demands for launch day and preorders. Now that the initial excitement has subsided, the company is returning to what they expected to produce all along. Because Apple never talks about moves like this, the tech world is left to speculate.


Edited by Rachel Ramsey