Apple’s supply chain needs an overhaul in order to make a cheap iPhone, says former CEO John Sculley

If you haven’t been living under a rock, you would have heard about the cheaper iPhone rumors. Well, according to the former CEO of Apple, John Sculley, Cupertino has some work to do before this will become a reality, namely in the supply chain. In a report from Bloomberg, Sculley talks about how Apple needs to look to emerging markets, and not the already successful America and Europe markets, in order to find more growth, and sustain it. In the interview, he had this to say:

Apple needs to adapt to a very different world. As we go from $500 smartphones to even as low, for some companies, as $100 for a smartphone, you’ve got to dramatically rethink the supply chain and how you can make these products and do it profitably.

If anyone is the person to do this, it would be Tim Cook, current CEO of Apple. When he first joined in 1998, he did something similar to what needs to be done today. Making the supply chain more efficient and streamlined, and making major changes to the supply chain, he was able to revamp Apple’s supply chain in a way no one else could. I still don’t see Apple making this “cheaper iPhone,” but that is only my opinion. However it wouldn’t be a bad idea, as competitors, such as Samsung, continue to offer cheaper alternatives targeted at emerging markets.

What do you think? Will Apple release a cheaper iPhone? Would you like to see this device? Let us know in the comments, or tweet me @TiP_Kyle.

 

Via: Cult of Mac, Washington Post

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  • jabombardier

    They shouldn’t make a cheaper iPhone. I think it would hurt apple in the end to do that.