Apple Inc. Drops Plan for Higher Production Capacity as iPhone 14 Sales Falters

    The much-anticipated demand for the new model of the Apple iPhone failed to take off. According to some people familiar with the current scenario, Apple Inc. has dropped plans to increase production of the iPhone 14 due to lackluster response.



    Apple Inc., based out of Cupertino, California, told its suppliers to slow down the increase of the iPhone 14 product range by as much as 6 million units in the second half of 2022. The information is from people who requested confidentiality as the plan is not yet been made public.

    According to some sources, the demand for the high-end expensive iPhone 14 Pro versions is more than the entry-level models. Apple supplier is shifting to higher production capacity in the premium model segment from the lower priced entry-level models.

    Even though the market slows down, Apple Inc. foresees sustained sales of its iPhone models in 2022. It had upgraded its sales estimates in weeks of releasing the iPhone 14, with some of its suppliers raising their capacity in anticipation of a 7% boost in orders.

    Iphone Sales Critical

    The success of the marquee product of Apple is crucial as it has wider ramifications for the tech industry, including suppliers such as Hon Hai Precision Industry Co. and Taiwan Semiconductor Manufacturing Co., whose profitability depends on the sales of iPhones and other related devices.

    A spokesman from the iPhone maker declined to comment on the iPhone 14 sales performance.

    The biggest smartphone market, China, is in the grip of an economic slump. Sales of iPhones, as well as domestic mobile makers’ sales, were affected. According to not on Monday by Jefferies Group LLC, a financial services company headquartered in New York, the purchase was down 11 % in the first three days of iPhone 14 availability in China compared to its predecessor released in the previous year.

    The demand for personal electronic goods has remained subdued globally because of the war in Ukraine, recession fears, and rising inflation. According to data from IDC, a market tracker for mobile and consumer devices, this year, the smartphone market is expected to decline 6.5% to 1.27 billion units.

    Research director at IDC, Nabila Popal, said the industry has shifted to a demand-constrained market from the early supply chain constraints that have eased. The OEMs are panicking as low demand and high inventory levels at distribution channels are forcing them to cut orders for 2022.


    RELATED ARTICLES

    Lab Management

    Choosing the Right Lab Management Software: LIS vs. LIMS

    In the intricate world of laboratory management, selecting the right software is pivotal to enhancing...
    xresolver

    Why is Xresolver Controversial? Impact on Online Gaming

    This database service tracks gamers' IP addresses and gamertags on the Xbox, PlayStation, and PC platforms....
    thesparkshop.inproductearbuds-for-gaming-low-latency-gaming-wireless-bluetooth-earbuds

    thesparkshop.in:product/earbuds-for-gaming-low-latency-gaming-wireless-bluetooth-earbuds: Learn More

    In the world of gaming, every millisecond counts. Whether in the thick of war or...
    sdmoviespoint2

    Binge-Worthy SDMoviesPoint2: Paradise for Movie Maniacs

    One website that provides free downloads of films and TV series in various languages and categories...
    Proxiyum

    Unlocking the Potential of Proxiyum: A Comprehensive Guide

    In the ever-evolving landscape of technology, Proxiyum emerges as a groundbreaking platform poised to redefine...
    allmovieshub

    AllmoviesHub: Your Gateway to Unlimited Movie Adventures

    Are you a movie buff who is constantly searching for the latest releases? Or are...
    Kelly Clarkson weight loss

    Kelly Clarkson Weight Loss: What are the Secrets?

    Kelly Clarkson is making heads turn with her new look. The singer and talk show...
    Client Meetings

    Why Schedule Commercial Cleaning Before Client Meetings?

    First impressions hold immense power, especially in the business world. How you and your environment...
    Lab Management

    Choosing the Right Lab Management Software: LIS vs. LIMS

    In the intricate world of laboratory management, selecting the right software is pivotal to enhancing...
    xresolver

    Why is Xresolver Controversial? Impact on Online Gaming

    This database service tracks gamers' IP addresses and gamertags on the Xbox, PlayStation, and PC platforms....
    Blueprint for Success

    Blueprint for Success: Starting Your Business Right

    Despite the fear that starting a business is a hazardous venture, it's important to understand...