Published in Mobiles

Apple reportedly cuts iPhone component orders

by on14 January 2013

Weaker than expected demand to blame

Apple has reportedly taken steps to cut iPhone 5 component orders, citing “weaker than expected” demand.

According to the Wall Street Journal, Apple practically halved orders for the iPhone 5’s screen and also took steps to cut orders of other components for Q1.

The report is rather puzzling, as the iPhone 5 was in short supply until just a few weeks ago and only recently it was introduced in China and a few smaller, but nonetheless significant markets.

The iPhone 5 is selling quite well, but Apple apparently overestimated demand for the first quarter of 2013. Bear in mind that the next iPhone should appear in Q3, or possibly even late Q2, but a new generation of Android handsets should start to appear in a matter of weeks and many should tip up at MWC. In other words, demand for the iPhone in Q2 probably won’t pick up.

More here.

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