Apple saw its first ever sales decline for the iPhone in the previous quarter and if whispers from the industry are to be believed, it’s going to get worse for the iPhone before it gets any better. The chairman of Foxconn, Apple’s largest manufacturing partner, has said that iPhone sales are going to remain feeble until early next year even though a couple of new iPhones will be launched this year in the fall.
Terry Gou is the chairman of Foxconn, the contract manufacturer for Apple. The company accounts for almost 70 percent of all iPhones made so its fortunes do depend on the iPhone’s performance quite a bit, even though it manufactures lots of other devices for other companies as well.
He has reportedly been telling subordinates that demand for new iPhones will remain weak until next year even though new models are going to be released this fall. A report published today claims that iPhone shipments will be down by as much as 8.6 percent this year as opposed to 2015.
Following the first ever sales decline posted in the March quarter, analysts are of the view that demand for the iPhone is going to fall even though some believe that the iPhone 7 could revive growth. However, rumors from the supply chain suggest that the new iPhones lack great innovation, meaning that there’s a possibility that the iPhone 7 may not be able to bring about a surge in sales.
Filed in . Read more about Foxconn, iPhone and Iphone 7. Source: asia.nikkei