Citi Research Slashes Q1 iPhone Production Estimates Over Alleged Weak Demand

Apple's most affordable handset this year did not only win the favor of iPhone 8 and iPhone X owners, but it also managed to attract hordes of Android switchers during its first month of availability, a research report has revealed. Assembling iPhones in India will also allow Apple to come back strong in the local smartphone market with reduced price tags for its devices.

The CIPR survey further points out that of the iPhone XR buyers, around 16% had switched from Android phones and the rest from other models of iPhones.

According to a Wall Street Journal report in November, Apple cut production orders for all three iPhone models launched in September.

This is a great move for Apple, because, in recent years, the government of India has placed an exorbitant charge on any imported smartphones, while charging lower import rates on smartphone parts, so as to ensure that producers build their devices in India and boost country's manufacturing business.

The investment may create as many as 25,000 jobs, he added.

Trump threatens to shut border if no wall money
Barring some sort of deal in the interim, House Democrats expect to vote on a funding bill on January 3, a Democratic aide said. Trump long promised that Mexico would pay for the wall, but Mexico refuses to do so.

A new study has confirmed fears of disappointing demand for Apple's newest entry-level iPhone. However, the company has kept its higher-end iPhone production in China, where iPhones have been assembled since their initial release in 2007. Foxconn said it did not comment on matters related to current or potential customers, or any of their products.

Full details of Apple's deal with Hon Hai are not yet clear and could change.

"Widening iPhone manufacturing in India through Foxconn will allow Apple to hedge the risk of any new US trade policies", said Navkendar Singh, an associate research director at International Data Corporation. As well as India, reports suggest the world's biggest electronics contract manufacturer is considering setting up manufacturing in Vietnam.

But despite these developments, Apple would be concerned about the declining sales of iPhones overall.

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