Apple: Scaled Back iOS 12 Ambitions, iPhone X Disappointment?

With Apple due to release its Q1 2018 financial results Thursday, analysts and investors will be watching for numbers indicating whether the iPhone X is a hit or a disappointment. However, there have already been some rumblings suggesting that Apple's $1,000-plus smartphone of the future isn't selling as well as previous flagship devices.

iPhone X production in the first quarter this year could be halved, from 40 million to 20 million units, due to muted sales, according to reports this week by the Nikkei Asian Review and The Wall Street Journal. That prediction is based on reports that Apple is cutting its orders to suppliers that manufacture a number of key components for the phone.

Meanwhile, other reports are pointing to a shift in focus for Apple's next update to its mobile operating system. Rather than refreshing the home screen and rolling out other improvements, iOS 12 is more likely to target improving performance and reliability, according to an article published today in Axios.

Three iPhones To Launch this Year

Design and component challenges were blamed for the delayed launch of the iPhone X, which came out in November instead of Apple's usual September kickoff for new flagship phones. And multiple reports indicate that some of the iPhone X features haven't wowed buyers.

In fact, in a research note published last week, well-regarded Apple analyst Ming-Chi Kuo of KGI Securities suggested that Apple could retire the iPhone X this summer in favor of an iPhone X Plus. He also predicted Apple would likely launch two other iPhones this fall.

Kuo issued another research note yesterday saying Apple's device plans for this year could be aimed at avoiding some of the challenges it encountered last year with the iPhone X.

"With three new models in the pipeline for the second half of...

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