Huawei Mate 20 expected to steal sales from struggling iPhone XR

Devin Lawrence
November 15, 2018

That could extend iPhone replacement cycles by six months to 3.2 years and push unit sales down by 6 per cent a year for three years, he estimated.

"The legacy iPhone models forecast is likely to increase significantly thanks to more affordable prices; the total iPhone shipments in 1Q19 are likely to see a YoY decline", Kuo continued, citing Career and Nissha Printing as two suppliers that might be affected by Apple's cuts. And on Monday, Apple shares dropped after Lumentum - a supplier of "laser diodes for 3D sensing", such as those used by Apple's Face ID - cut its revenue forecast after "one of our largest Industrial and Consumer customers" significantly reduced orders. Noted Apple analyst Ming-Chi Kuo has cut expectations for iPhone XR sales for the next few quarters by between 30 and 35%.

"Apple's iPhone weakness has been a long-term issue for the Asia supply chain", said Arthur Liao, an analyst at Fubon Research in Taipei.

With the iPhone XR being as it is, the Huawei Mate 20 series is providing an alluring alternative, which is hurting Apples potential sales.

Following a poor forecast earlier this month, analysts and investors expressed concerned about Apple's prospects and said its smartphone sales might be stagnating.

Robert Cihra at Guggenheim on Wednesday downgraded shares of Apple to Neutral from Buy and the firm removed their price target on the stock; previously, Guggenheim had a $245 price target on shares.

Israeli fire in Gaza kills 6 including 2 Hamas commanders: Palestinian officials
Jonathan Conricus said the operation was "not meant to kill or abduct terrorists but to strengthen Israeli security". The incident shattered what appeared to be a turning point after months of bloodshed along the Israel-Gaza border.

Rockets To Waive Carmelo Anthony Soon
The Lakers haven't had a good start defensively to the season and adding Anthony would only exacerbate their issues. He's accepted every role Coach has given him - starting, off the bench, whatever it's been.

Ruth Bader Ginsburg out of hospital after fall
Ginsburg's nephew, Daniel Stiepleman, told Reuters on Thursday evening that Ginsburg was working in her hospital room. Court spokesperson Kathy Arberg said Ginsburg "is doing well and plans to work from home" on Friday.

Early in the year, the company confirmed it had been intentionally throttling the speeds of some older phones to avoid battery-related problems.

"It is hard to give Hon Hai a positive rating", said Arthur Liao, an analyst at Fubon Securities, who characterised the result as neutral with most investors concerned about the outlook.

"Although Apple has positioned itself as a super-expensive handset maker providing high-end products, its strategy has not been working in emerging markets including China and India as Chinese vendors have been making iPhone-like products", he said. And right as its suppliers start suggesting these unit sales may be even worse than forecast.

Apple has been in a bit of a rough patch lately.

Lumentum, whose shares crashed 30 percent on the warning, didn't specifically mention Apple in its statement. Which means as the market goes, so goes Apple.

The move led analysts to question the company's business and its share price has since dropped 12.6%.

Other reports by

Discuss This Article