Apple set to reduce iPhone production by 10% in Q1 2017

According to a new report today from Nikkei, Apple is going to reduce the production of iPhones by about 10% in the first quarter of 2017. The news comes after Flurry Analytics showed that Apple still maintains a lead in holiday activations.

This isn’t the first time Apple has cut back on iPhone production as a similar event occurred this year in the January – March quarter. That cut on production was around 30%, which Nikkei Asian Review says was caused by slowing sales of the iPhone 6s and 6s Plus.

Though production of the iPhone is set to slow down in the coming year’s first quarter, that didn’t stop Apple from being another holiday hit this year. Apple devices saw a significant lead over Samsung in terms of device activations this past holiday. Apple came in first at 55% of the total activations, with runner-up Samsung following in at 21%. According to Nikkei, the latest models “sold more sluggishly than expected” and shortages of the camera sensors on the new devices have curbed Apple’s “ability to meet demand for the phones”.

Zac Hall and Benjamin Mayo postulated what 2017 will bring for Apple products, and we’ve taken a look back at everything we know about the 10th anniversary iPhone thus far.


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