updated 12:46 pm EST, Thu March 6, 2014
Repackaged iPhone doing poorly next to iPhone 5s
Due to poor sales, unsold inventory of the iPhone 5c has amassed to more than three million units, anonymous Taiwanese supply chain sources claim. Production of the phone is said to have been cut completely towards the end of 2013. Regardless, manufacturer Pegatron allegedly is said to have two million or so units in stock, with the remaining phones being held by carriers and distributors.
Apple announced sales of about 51 million iPhones in its last quarter, but it's believed that the vast majority of these were 5s units. The sources suggest that the 5c is being crippled by higher-than-expected pricing, and a four-inch display, which (while the same dimensions as the iPhone 5s) is as much as an inch smaller than some of its rivals. The phone is essentially an iPhone 5 repackaged in plastic-on-metal casing, but with slightly better battery and cellular features.
The company may be working on not one but two bigger iPhones for launch this fall. One is rumored to measure over 4.5 inches, while the other may exceed five inches. The smaller of the two may be intended as a replacement for the 5c.