Apple may discontinue iPhone 12 mini production due to weakening demand: JP Morgan
Published : Monday, 22 February, 2021According to predictions by a supply chain analyst, Apple may discontinue the production of the iPhone 12 mini due to weak demand. The iPhone 12 mini was launched alongside the iPhone 12, iPhone 12 pro, and iPhone12 Pro Max as the mini-version of the iPhone 12 series. While other versions of the iPhone 12 series have enjoyed relatively better demand, the iPhone 12 mini has struggled. The iPhone 12 mini was included in the series to provide consumers who favor a smaller device with the flagship experience. Unfortunately, the iPhone 12 mini was unable to meet the expectations set by Apple.
William Yang, a JP Morgan supply chain analyst stated in a note to investors that production of the iPhone 12 mini may be halted by the second quarter of 2021, reports AppleInsider.
Discontinued production of the iPhone 12 mini does not mean that the device will cease to be available on the market. The existing inventory will ensure that the small device will continue to be available for quite some time.
According to reports, the analyst reduced production expectations of the iPhone 12 mini by as much as 11 million units. The mini version is not the only device in the iPhone 12 series to suffer this reduction as the iPhone 12 production expectations also took a nine million unit hit. However, the iPhone 12 Pro and iPhone 11 have an optimistic expectation of production growth by two million units and eight million units respectively.
According to the market research firm, Consumer Intelligence Research Partners (CIRP), the mini version of the iPhone 12 series only attracted 6% of the total iPhone sales in October and November. This in addition to the failure to meet the expected demand by both the iPhone 12 mini and the iPhone 12 are determining factors in the decision to discontinue the production of the device.
The iPhone 12 mini was intended as the solution for consumers looking for a small- size flagship device. The device was designed similarly to the iPhone 12 except for the smaller display and shorter battery life.
In comparison to the 6.1-inch display of the iPhone 12 and iPhone 12 Pro and 6.7-inch display of the iPhone 12 Pro max, the iPhone 12 mini’s 5.4-inch display is the smallest in the series.
As Apple prepares to discontinue the production of the iPhone 12 mini, the company expects the production expectation of the iPhone 12 Pro Max to grow by 11 million units, Yang reported in his note. He also reported that Apple would be launching four new devices by the end of the second half of 2021, all with better battery life, camera enhancements, and a smaller notch design.
According to predictions by the analyst, Apple’s supply chain partners are building as much as 90 million units for the 2021 phone lineup, an improvement on the 76 million units of the iPhone 12 lineup in the second half of 2020.
According to speculations, Apple may have the iPhone SE 3 also known as the iPhone SE 2021 in the works and may debut the device in the first half of 2022. The device is to be a low-cost model with a form factor based on the iPhone 11, although it is to share some similarities with its predecessor. Going by some recent renders, it may feature a hole-punch display and a single rear camera. In some reports, the iPhone SE 3 may be launched alongside the iPhone SE Plus, featuring a larger display.