The iPhone X. Remember the excitement? The endless leaks and rumors? In 2017, Tim Cook himself unveiled it as “the biggest leap forward since the original iPhone.”
Yet, just a year later, Apple pulled the plug. No more iPhone X. This, along with the iPhone 6s and SE, marks the official end of iPhones with headphone jacks.
Surprised? Let’s go over the possible reasons behind Apple’s decision to discontinue the iPhone X so quickly.
A Little Bit of History
First, you need to watch the iPhone’s evolution closely to understand why Apple discontinued the iPhone X.
Second, you need to see Apple as a business and yourself as a customer. It doesn’t matter how you play this game; the only relationship that can exist between you and Apple is a business-customer relationship.
So, what does the evolution of the iPhone have to do with Apple discontinuing the iPhone X? Since the birth of the iPhone, for a certain period of time, every new model that came out was a huge step forward for the company. But in recent years, there’ve been concerns about Apple’s innovation.
Innovation takes time and lots of time. It took Apple several years to make the original iPhone, which was a game-changer in the smartphone industry.
For the iPhone’s tenth anniversary, Apple felt the obligation to bring something new to the market, as they did with the first iPhone in 2007.
The company did that with the introduction of the iPhone X. Face ID technology, Animoji, an edge-to-edge screen, and an OLED display were among the things that made the flagship device more innovative than previous models.
Slow iPhone Sales
Apple was so disappointed with iPhone X sales that it slashed production to only 8 million units in Q2. Some analysts say the hefty price is to blame, while others say more people are likely to hold on to their phones longer now, and the market isn’t really growing.
As we approached the Apple Event this year, rumors suggested that Apple would discontinue the iPhone X and iPhone SE.
Once Apple introduced its newest gadgets, the company removed the iPhone X, along with the iPhone SE and iPhone 6S, from its iPhone lineup. From a financial and business point of view, it makes perfect sense for Apple to kill off its lower-end and higher-end phones.
With the new iPhones, Apple hopes to address every customer’s concerns, not only those who can afford higher-priced iPhones but also those with small budgets. This year, it kind of feels like Apple made an iPhone for everyone.
Apple’s discontinuation of the iPhone X makes it look like a prototype, an unfinished product. However, with the company’s reputation built over the years, it was able to meet expectations.
Why would Apple discontinue a product that will set the path for the smartphone industry for the next decade? Why would Apple discontinue a product that was the world’s best-selling smartphone model?
Cannibalization
This has never happened in the company’s history to discontinue an iPhone after less than a year since its release. Keep in mind that the iPhone X was a “success,” according to Apple.
They could have dropped the price once the new ones came out—like they usually do every year—and still earn revenue from it for a few more years. It wouldn’t hurt, and everybody would be happy.
But this year, Apple didn’t do any of that for the iPhone X. Few things can help us understand this.
If you compare the iPhone X and the iPhone XS side by side, you won’t be able to tell which one is which. They have identical designs, the same screen size, and the same resolution. Design-wise, they are identical twins.
The truly meaningful hardware change is the new A12 Bionic chip, which will dramatically improve performance. But the iPhone X already has the horsepower to compete with any smartphone.
Of course, there are many small improvements under the hood, like better dynamic range with HDR content, an improved camera, IP68 water resistance, dual SIM support, faster wireless charging, etc. But Apple declines to define most of those improvements.
The point is the iPhone XS is just a minimal step up from its predecessor. Most of the so-called improvements are barely noticeable, and some are not noticeable.
If Apple were to still sell the iPhone X, the iPhone X would definitely cannibalize the iPhone XS sales. Not everyone wants the latest iPhone, so they’d go for the discounted iPhone X. After all, who doesn’t want to save some money?
That’s not all. What about the iPhone XR?
Let’s say Apple had discounted the iPhone X by $100, putting it at $899. The iPhone XR starts at $749 for the entry-level.
Despite the iPhone XR features Apple’s latest A12 Bionic chip, the iPhone X is by far a better product than the iPhone XR. Customers would buy the iPhone X instead, putting the XR in a bad position.
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