Linked by Thom Holwerda on Tue 15th Jan 2013 09:12 UTC
Apple The New York Times also chimes in on the reduced orders, and they have numbers which seem more realistic. "Apple does appear to be cutting back on orders for its latest iPhone from its manufacturing partners, as Nikkei of Japan and The Wall Street Journal reported earlier. Paul Semenza, an analyst at NPD DisplaySearch, a research firm that follows the display market, said that for January, Apple had expected to order 19 million displays for the iPhone 5 but cut the order to 11 million to 14 million. Mr. Semenza said these numbers came from sources in the supply chain, the companies that make components for Apple products." Some suggest this is stock manipulation, and while that is an exciting story to be sure, would respected and well-informed newspapers like The Wall Street Journal and The New York Times participate in something like that? Somehow, I highly doubt it. A far more logical explanation, as NYT details, is that the iPhone simply isn't doing overly well outside of the US.
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RE[2]: Who knows
by delta0.delta0 on Tue 15th Jan 2013 11:28 UTC in reply to "RE: Who knows"
delta0.delta0
Member since:
2010-06-01

I think I know why, the phone has been sold here in the UK at a premium where the S3 can be bought on a £25 a month contract with the phone free the iPhone 5 is on the most expensive contracts with a heavy up front fee as well, which on all calculations end up costing at least twice the actual price of the iPhone off contract. In fact a few of my friends have bought the iphone 5 off of contract and then signed up to giffgaff a mobile network here which charges 12.50 a month and provides unlimited data.

To put simply the Mobile Network Operators are to be blamed here, they have gotten incredibly greedy and expecting the iPhone 5 to just sell have massively overpriced it on really terrible contracts. This applies here in the UK, I know a lot of people have not upgraded because of this very reason and are still running their old iPhones some are looking to move to Android.

The other reason is quite simply that the iPhone 5 is very boring, its a bit bigger than the iPhone 4 but it looks very similar, so why bother upgrading thats the other reason. I am sure interface wise and hardware wise the next iteration of the iPhone will be very different at least I hope for Apples sake it will be.

Reply Parent Score: 2

RE[3]: Who knows
by novad on Tue 15th Jan 2013 11:34 in reply to "RE[2]: Who knows"
novad Member since:
2010-06-10

I would even add one more point.

iPhone 5 = new connector.

For all those already owning an iPhone4 that means they have to buy (again) a lot of stuff.

Why would they do that knowing the iPhone5 is just a big iPhone4??

Reply Parent Score: 2

RE[4]: Who knows
by WildSubnet on Tue 15th Jan 2013 17:16 in reply to "RE[3]: Who knows"
WildSubnet Member since:
2012-01-24

Could be the iPhone 5 is not as good of a phone as the 4S it replaced. Wifi issues and 3G reception issues. Wifi supposedly fixed with the iPhone 5/iPad Mini only update, but my wife's 5 consistently gets worse reception than my 4. I can text away and her phone says "no service" or is extremely slow. Supposedly the 3G issues are fixed in iOS 6.1 so we will see. But I'm taking a wait and see attitude on upgrading my line. I don't really need to upgrade and poorer reception makes the "want" factor go away completely.

Reply Parent Score: 2

RE[4]: Who knows
by riha on Tue 15th Jan 2013 23:50 in reply to "RE[3]: Who knows"
riha Member since:
2006-01-24
RE[3]: Who knows
by JAlexoid on Tue 15th Jan 2013 12:26 in reply to "RE[2]: Who knows"
JAlexoid Member since:
2009-05-19

To put simply the Mobile Network Operators are to be blamed here, they have gotten incredibly greedy and expecting the iPhone 5 to just sell have massively overpriced it on really terrible contracts. This applies here in the UK, I know a lot of people have not upgraded because of this very reason and are still running their old iPhones some are looking to move to Android.


No. To put it simply - in US the operators are free to charge you stupid fees on your devices and then charge you your usual $100 per device. In EU that practice "does not fly", so the operators are done supporting Apple with their cash and are letting the customer pay the full actual price.* Why? Because when you buy an iPhone you are not likely to be proving additional revenues for the operator to cover for the subsidy(considering OTT, premium SMS messages and similar)

*- iPhone5 off contract is about €750 and it's subsidy constitutes €10-€15 in your monthly bill. That is a considerable hole between the price the operator pays to Apple and you pay back.(I suppose Apple only gets €500 when sold in bulk to operators)

Reply Parent Score: 5

RE[4]: Who knows
by mutantsushi on Tue 15th Jan 2013 13:03 in reply to "RE[3]: Who knows"
mutantsushi Member since:
2006-08-18

apples sells unlocked no-subsidy iphone5's direct to US consumers for a bit less than 500 euros (16GB) or 575 euros (32GB). carriers must get them for substantially less. but apple certainly is selling them for more than android or windows phones, and without subsidies price-conscious consumers will choose other options. even in the us, other brands are doing increasingly well.

Reply Parent Score: 2