The new iPhone 11 models have proven to be a hit for Apple, to the point where it has told its suppliers to increase production of certain models to ensure it can meet demand. According to Nikkei Asian Review, Apple has bumped up production by 10%, which should add another 8 million phones to its sales arsenal around the world.
However, it’s not across the range that Apple is seeing more demand, and while the increase in orders concentrates on the iPhone 11 and the iPhone 11 Pro, it has cut back on orders for the largest and most expensive iPhone 11 Pro Max model. It’s no surprise the $700 iPhone 11 has proven popular, due to the unexpected and very welcome price reduction compared to last year’s cheapest new model, the $750 iPhone XR.
To get the iPhone 11 Pro Max you need to spend at least $1,100, and aside from the larger screen, the phone has the same features and specification as the slightly smaller and cheaper
Are popularity and a cheaper entry price the main reasons for upping production? Apple was apparently conservative in its orders for 2019, a possible response to a fall in iPhone sales last year. It wasn’t only Apple that sold fewer phones in 2018 though, as for the first time ever smartphone sales across the industry stopped growing. Additionally, continued tariff increases on goods from both the U.S. and China may have prompted Apple to boost production, ensuring it doesn’t get caught up in the next wave of increases expected over the next few months. The iPhone 11 series is made in China.
Suppliers are cautious over the sudden increase meaning more orders will come later on too, avoiding the low demand from the beginning of the year. An anonymous source speaking to Nikkei said, “We have to be careful not to be too optimistic. I hope that this year’s peak season lasts longer than last year.”
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