Friday Apple Rumors: iPhone 5c Production Plunges as 5s Soars

The 5s is outselling the 5c by a widening margin

   

daily apple rumors  300x180 Friday Apple Rumors: iPhone 5c Production Plunges as 5s SoarsHere are your Apple rumors and AAPL news items for today:

Demand Pattern: Consumers are showing a marked preference for Apple’s (AAPL) new flagship iPhone, forcing the company to scale back production of its new lower-priced model, MacRumors notes. A Chinese media source says that, in October, Apple supply partner Pegatron was producing 320,000 iPhone 5c units per day. That output has now been slashed to just 80,000 units a day. Manufacturing of the iPhone 5c at alternate producer Foxconn — which is concentrating on the iPhone 5s — has fallen to between just 8,000 and 9,000 units a day. While production of the iPhone 5c continues to fall, consumer desire for the pricier iPhone 5s appears to be growing. The iPhone 5s is now outselling the iPhone 5c by a 3-to-1 margin, according to industry research firm Fiksu. The iPhone 5s was seen outpacing the iPhone 5c by just a 2-to-1 margin shortly after both iPhones launched in October. Supplies of the iPhone 5s remain tight, while the iPhone 5c has been relatively easy to find since its debut.

apple logo amid circles 630 200x200 Friday Apple Rumors: iPhone 5c Production Plunges as 5s Soars
Apple Planning a Bigger iPhone With Curved Screen?

More: An activist investor has increased his stake in Apple, AllThingsD notes. In August, Carl Icahn revealed that he had taken a large stake in the iPhone-maker and would pressure the company to increase the size of its planned share buyback from $60 billion to $150 billion. By the end of September, regulatory filings indicated that Icahn held Apple shares worth about $1.9 billion. That stake had grown to 4.77 million shares — worth about $2.5 billion — in October, according to a letter Icahn sent to CEO Tim Cook last month. The billionaire recently had dinner with Cook, where he reportedly continued to press for a higher share repurchase. Apple has roughly $150 billion in cash.

Big Wager: In testimony before a court in California, a top Apple executive described the iPhone as a “bet the company product,” CNET notes. Phil Schiller, Apple’s marketing chief, made the statement yesterday during the iPhone-maker’s latest round in court against Samsung. The new trial is meant to determine how much Samsung will have to pay for violating an Apple patent. Last year, a jury found the South Korean electronics giant guilty of patent infringement and ordered it to pay Apple $1 billion. A judge slashed that award to $600 million and ordered a new trial to assess any additional damages. Apple is asking for $379 million in additional damages. In his testimony, Schiller noted that launching the first iPhone came with “huge risks” for Apple, which made a massive investment in the new device.

For more about the company, check out our previous Apple Rumors stories.


Article printed from InvestorPlace Media, http://investorplace.com/2013/11/friday-apple-rumors-iphone-5c-production-withers-5s-soars/.

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