In early Thursday trading, shares of Apple dropped 2.8 percent after reports out of Taiwan revealed that the tech giant has cut orders for the iPhone 8 and 8 Plus by almost 50 percent for the rest of 2017.
The production cuts are another setback for the brand new iPhone 8 series, which were reported earlier in the week to be outsold by 2016’s iPhone 7 series earlier in the week.
Despite having the best camera and fastest processor ever put into an iPhone, and for the first time featuring wireless charging, the iPhone 8 has not been getting consumers into stores at the rate that Apple is accustomed to.
Much of this can be because of the fact that the handset is very similar to the iPhone 7 in terms of appearance. The iPhone 7 currently sells for $150 less than the iPhone 8, and it can still hold its own against the current offerings of the market.
Plus, the shadow of the upcoming iPhone X seems to be decreasing the interest of consumers in the iPhone 8. The iPhone X, which will go on sale on November 8, features an all-new design with revolutionary facial recognition technology and an edge-to-edge OLED screen.
Early adapters seem to be adopting a wait-and-see approach to the iPhone 8, which were sold in stores in late September, just weeks before the release of the game-changing iPhone X.
According to the Economic Daily News of Taiwan, which first reported regarding the cutback, Apple has never slashed production of an iPhone so early in the cycle.
Shares of the Cupertino, California company were down to $155.29 as of 10:10 a.m.