HONG KONG, (Reuters) - Apple is offering rare discounts on its iPhones in China, cutting retail prices by as much as 500 yuan ($70) amid growing competitive pressure in the world's biggest smartphone market.
The U.S. tech giant cut prices of some iPhones by 5 percent, its Chinese website showed on Monday. The time-limited promotion, branded as a Lunar New Year event, will last from Jan. 18 through Jan. 21 in a lead-up to the holiday in mid-February.
Sales of Apple's latest iPhone 15 series of handsets have been far worse than previous models in China.
Home-grown rivals such as Huawei Technologies and Xiaomi have been offering competitive models, while sources have said some companies and government departments have been limiting staffers' use of Apple devices - mirroring U.S. government restrictions of Chinese apps on security grounds.
Chinese iPhone sales dropped 30pc in the first week of 2024 versus the same period a year earlier, Jefferies analysts said in a client note, having fallen 3pc for all of 2023. Analysts expect the competitive landscape to get tougher this year.
Apple has not cut prices for its latest iPhones in years. The cuts come after it surprised the market by not raising prices for the iPhone 15 series at its September launch.
Online shopping platforms including Pinduoduo have been slashing prices of the iPhone 15 and iPhone 15 Pro by as much as 16pc since the beginning of the year.
Apple did not respond to a request for comment.