Apple reportedly overestimated iPhone 12 mini demand, by a lot

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Apple is cutting production of the iPhone 12 mini in the first half of this year, Nikkei Asia reports. Planned production of the smallest iPhone 12 model has reportedly been reduced by 70 percent or more in the first half of this year, making up the majority of a 20 percent cut in total iPhone 12 production. Some suppliers have been asked to temporarily stop producing iPhone 12 mini-specific components, while other parts are being reallocated to the Pro and Pro Max, Nikkei reports.

Alongside the iPhone production news, Nikkei also reports that Apple has pushed back production for two new Apple Silicon MacBooks. Originally due to enter mass production in May or June, the laptops will now be manufactured in the second half of the year. Nikkei’s report doesn’t reveal which of Apple’s rumored MacBooks these could be.

Despite the cuts, iPhone production is still scheduled to be up overall compared to 2020. Apple reportedly plans to produce 75 million handsets in the first half of the year, and 230 million phones over the course of 2021. Part of the reason is though to be because Apple was overly aggressive in booking up production capacity in the first place ahead of the global chip shortage. The shortage is now creating problems for companies both inside and outside of the technology industry.

Nikkei’s report is the latest indication that Apple’s miniature addition to its flagship smartphone lineup hasn’t lived up to expectations. Last month, Reuters reported on analyst data which claimed sales of the 12 mini had made up just five percent of Apple’s smartphone sales in the first half of January. Nikkei reports that as of the end of last year, the mini made up 10 to 15 percent of Apple’s iPhone 12 series orders.

Although we liked the iPhone 12 mini when we reviewed it, overall smartphone demand is trending towards phones with bigger screens. And while the 12 mini also benefits from being cheaper than the other handsets in the iPhone 12 lineup, customers have the option of buying previous year’s models if they want to save money.

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