Canalys estimates that Apple shipped “fewer than” 14 million iPhone X units in Q1 2018. That’s almost a 50 percent decline in shipments from Q4 2017 as Apple had shipped 29 million iPhone X units in Q4 2017.
While iPhone shipments usually decline in Q1 of every year post the lucrative holiday season, a decline by over 50 percent in iPhone X shipments definitely indicate that its sales are slowing down and consumers have lost interest in it.
This can likely be attributed to the extremely high $999 price tag of the handset along with 18:9 aspect ratio displays and dual-camera setups becoming commonplace in budget Android handsets.
“Apple’s iPhone X performance in Q1 is a clear indication of the challenges that premium smartphones now face,” said TuanAnh Nguyen, Analyst at Canalys. “The novelty of premium smartphones is wearing off, and features such as 18:9 displays and dual cameras are being commoditized quickly to lower ASPs. While Samsung has tackled the issue of slowing demand for premium smartphones head-on by announcing trade-in programs and partner-driven offers, new smartphones from Huawei and Google’s Pixel smartphones are primed to dent its sales quicker than Samsung can anticipate.”
Despite the slow down in sales, Apple has not announced any major price cuts for the iPhone X. Carriers have discounted the price of the handset to spur its sales but given its relatively high price tag, these discounts are not helping much.
The report does not mention anything about the iPhone 8 and iPhone 8 Plus, though its sales have reportedly been disappointing right from the get-go. Apple did launch a Product(RED) iPhone 8 last month to give spur the sales of the handset, and it remains to be seen if it has any impact on Q2 sales.