The company expects to make only 20 million iPhone X units in the first quarter.
Apple reportedly notified suppliers on Monday that it is halving its iPhone X production target for the first three months of the year.
The company was expecting to produce 40 million units of the iPhone X in the first quarter of 2018, but has now revised the figure to just 20 million, Nikkei reported without citing a source.
The report comes almost a week after an analyst said Apple would kill off the iPhone X when the next-generation model hits the market later this year. The iPhone X is the company’s most expensive phone to date, with a hefty price tag of $999, £999 or AU$1,579.
Apple will want to avoid making the iPhone X cheaper so that it doesn’t sabotage sales of mid-range models, said KGI Securities analyst Ming-Chi Kuo.
The company’s production target for the iPhone 8, 8 Plus and the iPhone 7 remains at 30 million units for the first quarter of the year, said the Nikkei, showing no change for when the predictions were first published in November 2017.
Apple did not immediately respond to request for comment.