Apple plans to make about 20% fewer iPhone SE units next quarter than originally planned, in one of the first signs that rising inflation and the Ukraine war have started to dent consumer electronics demand, Nikkei Asia reports citing “sources briefed on the matter .”
Cheng Ting-Fang and Lauly Li for Nikkei Asia:
Apple launched the iPhone SE as its first 5G-capable budget phone less than three weeks ago but is now telling multiple suppliers that it aims to lower production orders by about 2 million to 3 million units for the quarter, citing weaker-than-expected demand, four people told Nikkei Asia. The U.S. tech giant also reduced orders for its AirPods earphones by more than 10 million units for all of 2022, as the company predicted lukewarm demand and wanted to reduce the level of inventories.
Apple also asked suppliers to make a couple of million fewer units of the entire iPhone 13 range than previously planned, but said this adjustment was based on seasonal demand.
MacDailyNews Take: Also, iPhone SE sales may be limited in China where store pick-up is unavailable due to continuing COVID lockdowns.
Apple also halted sales in Russia following its invasion of Ukraine which would also affect sales of Apple’s lowest-priced iPhone.
Potential customers for Apple’s entry-level iPhone would logically be most affected by rising prices for essentials and most likely to curtail spending on items such as a new smartphone.
‘Tis best to get a handle on inflation, if you know how, while you still can. – MacDailyNews, May 11, 2021
Inflation is repudiation. — Calvin Coolidge
When a business or an individual spends more than it makes, it goes bankrupt. When government does it, it sends you the bill. And when government does it for 40 years, the bill comes in two ways: higher taxes and inflation. Make no mistake about it, inflation is a tax and not by accident. — Ronald Reagan
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I would view this “report” with some skepticism……..
This from 2021——–
Same comments every year.
CNBC
Apple reportedly cuts
orders for iPhones by
20% due to low demand
for iPhone 12 mini
PUBLISHED WED, MAR 10 2021 8:42 AM EST
UPDATED WED, MAR 10 2021 4:06 PM EST
It was totally untrue.
Pro-tip— wait for Tim Cook to address this on the CC in April 2022.
The SE-3 is NOT a make or break device for Apple. It does present a bit of an upgrade for those who want or need the home button. There are plenty of “dexterity” issues that demand this type of phone right now…….
It also makes a nice starter phone for some as well….
Yep and that isn’t the only rumor as fact that ends up untrue story to circulate.
Even with the views merchants out there pushing it as fact, this time the stock actually held its own and a little bit more.
China sows what it reaps with the virus. Sucked in, losers.
Inflation? What inflation? Call me when the food shortages start. Apple will really be cutting their orders then.
Americans haven’t seen food shortages since the 1930s Dust Bowl days. Food is so cheap that lobbyists successfully passed legislation to feed excess corn production as ethanol to the fat SUVs and corn syrup as hidden sweeteners in everything you see in a supermarket. America overproduces so much soybeans that they are also used for filler ingredients in everything, including livestock feed. If you are what you eat, Americans are now mostly corn and soybeans.
A price correction is just the thing to get obese Americans back into shape. Try growing vegetables, you might like them.