At least, that’s one way to look at it. Rather, Apple is reportedly not moving ahead with plans to increase iPhone production. This comes as insiders note that the increased demand expected for the smartphone hasn’t materialized.
According to these insiders, Apple has reached out to suppliers to have them scale back production of the iPhone 14. This has it expecting 6 million fewer units in the second half of 2022. However, that means it’s still looking for 90 million units during that period.
Weak Demand Replaces Supply Chain Constraints
Nabila Popal, research director at IDC, told Bloomberg, the following:
The supply constraints pulling down on the market since last year have eased and the industry has shifted to a demand-constrained market. High inventory in channels and low demand with no signs of immediate recovery has OEMs panicking and cutting their orders drastically for 2022.
Investors in AAPL stock will note that the 90 million units that Apple expects matchs its prior estimates made this summer. It’s also in line with the company’s iPhone deliveries during the prior year.
AAPL stock is down 3.3% as of Wednesday morning and is down 19.3% since the start of the year.
Investors seeking out more recent stock market news will want to stick around!
We’ve got all of the latest news traders need to know about for Wednesday! That includes what has shares of Ocugen (NASDAQ:OCGN) stock rising, this morning’s biggest pre-market stock movers, and more. You can find all of that at the following links!
More Stock Market News for Wednesday
- Why Is Ocugen (OCGN) Stock Up Today?
- Today’s Biggest Pre-Market Stock Movers: 10 Top Gainers and Losers on Wednesday
- Is Skillz (SKLZ) Stock the Next Big Short Squeeze?
On the date of publication, William White did not have (either directly or indirectly) any positions in the securities mentioned in this article. The opinions expressed in this article are those of the writer, subject to the InvestorPlace.com Publishing Guidelines.