Apple Sitting on Huge Backlog of Unsold iPhone 5c Handsets

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Poor sales of Apple's iPhone 5c handset have lead to stockpiles of the phones at their manufacturing sites according to a local report.

Inventory volumes have reached 3 million units -- with around 2 million piled up at factories operated by Pegatron Technology, and a further million handsets in mobile network warehouses.

Apple had already stopped placing manufacturing orders for the iPhone 5c at the end of 2013, but inventories are still slow to clear.

The figures were reported by Taiwan's DigiTimes, who cited Taiwan-based supply chain makers. Apple did not confirm the reports.

The launch of the iPhone 5c was met with near universal dismay by onlookers who had been hoping for a genuine low-cost handset. However, the 5c was overpriced and underspec'd for a handset in that category, leading most consumers to pay a modest premium for the 5s smartphone.

Apple is under pressure now to deliver a much broader range of handsets and price points, and is widely expected to get closer to that goal with its annual refresh of its portfolio later this year.

On the web: DigiTimes

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