Apple shares fells 2.8 percent in early Thursday trading after reports out of Taiwan that the tech giant has slashed orders for the iPhone 8 and 8 Plus by nearly 50 percent for the rest of the year.
The production cuts are another blow for the brand new iPhone 8, which earlier in the week was reportedly being outsold by last year’s iPhone 7.
Despite having the fastest processor and best camera ever put into an iPhone, plus featuring wireless charging for the first time, the iPhone 8 hasn’t been getting consumers into stores at the rate Apple is accustomed to.
Much of this can be attributed to the fact the handset is very similar in appearance to the iPhone 7, which sells for $150 less and can still hold its own against the market’s current offerings.
Plus, the shadow of the looming iPhone X appears to be tamping down interest in the iPhone 8. The iPhone X, which goes on sale Nov. 8, features an all-new design with an edge-to-edge OLED screen and revolutionary facial recognition technology.
Early adaptors appear to be taking a wait-and-see approach to the iPhone 8, which rolled into stores in late September, just weeks ahead of the game-changing iPhone X.
Apple has never cut production of an iPhone so early in the cycle, according to Taiwan’s Economic Daily News, which first reported on the cut back.
Shares of the Cupertino, Calif., company were down to $155.29 at 10:10 a.m.
This story originally appeared in the New York Post.