Gadget Insights:Apple is cutting production of its AirPods by around 25% to 40% due to a decrease in sales, media reports said. Apple had initially planned to aim for 110 million units, now has plans to produce only 75 to 85 million units for this year, MacRumors, citing Nikkei Asia, reported on Tuesday.
One of the experts familiar with the matter was saying that the significant order reduction is for the second quarter towards the third quarter. The report did not specify which Apple AirPods specifically will see a production cut.
Apple’s AirPods lineup includes the AirPods Pro, the second-generation standard AirPods with wireless charging, and the AirPods Max that goes over-ears and costs $550. AirPods and AirPods Pro are to be upgraded this year, which Apple hopes will “stimulate sales,” according to the report.
The company is rumoured to be working on a third-generation AirPods with a design similar to the AirPods Pro but still lacks the “Pro” features like Active Noise Cancelation that is still expected by consumers. Ming-Chi Kuo, Apple analyst said that the production of the new AirPods will begin in the third quarter of the year.