Apple New iPad Sales Are Now Sluggish After That Strong Initial Start
Well, you might remember our previous post in which we reported that the new Apple iPad was unable to sell out in the retail stores on launch day, and it should be taken a clue perhaps. You might also remember that there was a lack of long lines that had become a hallmark of Apple launch days at the Apple Stores and that showed us a sign that something was different this time. Well, after that we all were surprised to see that Apple announced the sales 3 million new iPad units during the launch weekend and of course the pre order inventory was completely sold out as well. But it seems like the third generation Apple iPad was unable to get as much sales figures as the other mobile devices from Apple usually get.
Well, according to a latest report form Want China Times, it seems like Foxconn has ordered its employees to slowdown the production of the new iPad majorly. According to an employee who works on the assembly line of the new iPad in Shenzhen has said that in February, workers received overtime because the production of the new iPad was in full motion and 150 to 180 units were being assembled per hour. After that, the Foxconn employee said that in March, things slowed down quickly and sometimes workers were unable to even get 5 days of work during a week. The worker said that he himself had 10 days off during the last month due to the same slowdown in the sales of the device. There were 20 assembly lines dedicated to the production of the tablet but due to this lack of sales, 3 of them were shutdown completely. Now, those assembly lines are assigned to produce an entirely new product.
According to the Chinese paper, the slowdown in the sale of the new Apple iPad has also affected “scalpers” in Hong Kong. Previously, they used to get 30% profit margins by hawking Apple devices, but now they are feeling overstocked and apparently they are unable to secure those juicy profits like they used to have in the past with previous Apple devices.
So, the question arises that are Apple’s fortunes are really in a bad position, or that Foxconn employee is just blowing off steam? Well, whatever the issue is, we will not know that how well or poorly the new iPad is selling until Apple releases its quarterly report at the end of the quarter very soon.