Black stripe Apple. Part 2

Just yesterday we wrote about a significant fall in Apple stock and poor sales of new smartphones as it is today has a new piece of data.

Let’s start with the fact that, according to the source, Apple has started to offer mobile operators in Japan, the subsidies for new iPhone. To put it simply, discounts. Don’t know whether there were such precedents in the past, but I have not heard about them. Clarify that we are talking about new models of the iPhone, which entered the market just a few months ago.

Moreover, it is strange that talking about the Japanese market, because there is the position of Apple traditionally strong enough. Possible similar offers Apple has already done or is preparing to do in other markets.

The second news is even more entertaining. Apple decided to return to production of the new iPhone X! If someone suddenly missed, this model disappeared from the range immediately after the release of new models. Why? Yes, because to leave it in the sale was possible only with reduced prices, and that Apple could not do. Why? Because of the difference in the conditional $ 100 iPhone X sold would not be as good, if not better than the iPhone XS. And iPhone XR he would share a bite. In General, leave it in the ranks of Apple could not.

And now his return. Not all markets, and there’s no word yet on what it is, but what is important is the precedent.

And now about the reasons for such a step. They are a little harder than you would think. It’s not the fact that the company thus wants to save the sale. The reason is the contract with Samsung. This contract implies that Apple is required to buy a certain number of Samsung OLED screens for a certain period. And because of the weaker than Apple expected, demand for new smartphones, it buys from Samsung less than prescribed in the contract, the number of screens. Specific numbers, of course, unknown, but it does not matter.

In the end, Apple is obliged to purchase a certain number of displays. And she is faced with a choice: either still to increase the production of the iPhone XS, which sold poorly, or return to production of the iPhone X, to sell into certain markets at a lower price. The first option threatens the overstocking, and the second is, perhaps, less risky. So you have what you have.

I note that under poor sales of new smartphones meant bad for Apple and its own forecasts. In absolute terms, of course, sales are very good.

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