Apple rumored cutting iPhone, iPad production, likely normal
updated 07:45 am EST, Wed November 9, 2011
Apple may cut iOS devices in seasonal shift
Apple is cutting back shipments for iPhone and iPad production in the fall, insiders claimed Wednesday. Taiwan's Commercial Times believed Apple was telling part suppliers for the iPhone 4S to move shipments from the fall to early 2012, as sales allegedly weren't as strong as in the pre-order phase and may have been affected by shortages of "key components." Assemblers, case makers, camera lens producers, and chip developers were also supposedly expecting shipments to drop, in some cases by 10 to 15 percent.
Some Taiwan-area suppliers supposedly saw a drop in October revenue versus a month earlier. The local newspaper couldn't get confirmation from part suppliers.
The claim is contentious and may be confusing seasonal production trends with a sign of trouble. As supported by some commentary from part suppliers speaking to Digitimes, the fall often triggers a lull in production as most of the shipments will only be sold early into the new year, when sales almost always drop. Shortages could artificially drop sales, although it's unclear how Apple could face both reduced demand and part shortages at the same time.
The statements would also contradict more concrete data about high demand for iPhones. In the US, Apple is reportedly still seeing most stores sell out each day. Hong Kong pre-orders reportedly sold out in 10 minutes, and Korean carriers were swamped with pre-orders despite being in Samsung's home territory.
