iPhones are much cheaper in China… but not cheap enough for some

Remember last week when people blamed Apple’s revenue woes on expensive iPhones? Well, those handsets are now much cheaper on some of China’s biggest shopping sites -- up to US$180 less than China’s Apple Store.

On JD.com, the iPhone 8 is selling for 3,999 yuan (US$592) -- around US$160 cheaper than in China’s Apple Store. (That’s also a few dollars cheaper than in the US Apple Store, which is rare: New iPhone models usually carry a US$200-$300 premium in China.)

Meanwhile in a pre-Lunar New Year sale, retail giant Suning is offering the iPhone XR 128GB for as low as 5,799 yuan (US$860) with coupons -- a nearly US$180 markdown compared to buying from China’s Apple Store.

Reports this week say Apple cut the price of iPhone XR and other models for Chinese distributors, just days after the company lowered its revenue outlook, pointing to weaker sales than expected in China.

But a JD.com customer service representative offered another reason, telling local media that it has to do with Apple’s legal fight over software patents with Qualcomm. Last month, the chip maker said it won a Chinese court order to block Apple from selling recent iPhone models like iPhone 8, 8 Plus, and X. Qualcomm later complained that Apple is still selling those models, violating the order.