Apple Has Reportedly Cut iPhone 5 Components Due to Low Demand

According to the Wall Street Journal, Apple has cut orders for iPhone 5 screens and other components due to weaker than expected demand, apparently notifying suppliers last month:

Apple’s orders for iPhone 5 screens for the January-March quarter, for example, have dropped to roughly half of what the company had previously planned to order, two of the people said.

The Cupertino, Calif., company has also cut orders for components other than screens, according to one of the people.

Apple notified the suppliers of the order cut last month, the people said.

Sharp, Japan Display Co. and LG are the reported suppliers of iPhone 5 display panels, which are at half of what was previously expected. If these sources are correct, the lack of demand could be a response to the fact Apple faces more competition than ever when it comes to the iPhone.

The latest iPhone 5 launched in September with a new thinner, lighter design, support for LTE networks and a larger four-inch screen. Lines were also shorter this year than years past, hinting at less than normal demand. Other possible reasons for low iPhone 5 demand is could be the lacklustre update to iOS 6 and the fiasco with Apple Maps; it has resulted in many customers looking at alternatives, such as Android smartphones or Windows Phone.

Founder and Editor-in-Chief of iPhoneinCanada.ca. Follow me on Twitter, and @iPhoneinCanada, and on Google+.

  • Winski

    IT’S A LIE.

  • lucky

    Well.ive been using iphone since the 3g. I waited in line 8 hours to get iphone5. But ofter a week was so disappointed and sold it. Then bought s3.
    It could b possible. People r buying andriod now who had iphone
    Apple has more competition.

  • aaa

    Time to switch to Android I guess. I might switch over to my first Android phone this year, either Samsung GS series or ‘x-phone’.

  • Anon

    You can add lack of Jailbreak to that list as well. Apple needs an open iOS now, more than ever. It’s time for Apple to stop being anal, and allow people to mod their phones for f’ck sakes!

  • xxxJDxxx

    I’ve definitely noticed Apple losing a lot of what I would call “average consumers” to the Galaxy S3. Many of my friends who know very little about phones or technology seem to end up with an S3.

  • bill

    The cost of the iThone 5 doesn’t measure up to it’s specs and benchmark nowadays. with the S3 (android) and the Lumia 920 (w8) being so comparable in specs, with a lower price tag, I think most people want whats just as good for their mobile use as well as their wallets.

  • Rio

    Then switch to Android if you want an open system. I like my iPhone 5 in its enclosed garden. I have seen my friends Android and do not want to have to deal with the problems that come with an open system

  • Mark

    People should get whatever phone they like. And then when they realize the grass is not greener, they will come back to iPhone 🙂

  • Ken Kafieh

    agreed. let us jailbreak!

  • Murvin

    The advantage of not being able to jailbreak is hopefully Apple can get NIST certified for IOS.

  • Roger Payne

    You guess???

    So because a report comes out saying that people are straying away from one device you ‘figure’ it’s time to switch phones.

    I’m not saying you should be an iSheep or fanDroid…but whatever happened to comparing phones and purchasing one that’s right for ‘you’? People have too much allegiance to phone manufacturers nowadays who care about nothing more than grabbing your money.

    I spent weeks comparing the S3 to the i5 before settling with the i5. I chose it personally for the picture quality even though Android’s OS allow to you to do much more with the photos. I hate that iOS restricts me in so many ways, but that’s the consequences I chose to have.

    A lot of people have switched to Android phones recently. That hasn’t done one bit to discourage my purchase. In three years when I’m ready for another phone, I can’t say what phone I’ll be with, but I certainly won’t be basing my decision from a report regarding sales.

  • Anon

    You don’t understand the concept. Apple will be able to approve (or not approve) of the tweaks, themes – thus weed out any broken apps. Think of it as a separate legit Cydia store, except regulated by Apple. Of course, the user will able to have the option to install these tweaks or not. Note the word “OPTION”, meaning these features won’t be forced, and you can run a plain vanilla iOS if you so choose.