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Apple falls on fears of slowing iPhone 14 demand


九月, 28 2022
watermark Economic news

Apple Inc. shares fell by 3.7% (to $ 146.54) after reports that the company is abandoning plans to increase iPhone production, as demand for the new iPhone 14 smartphone was not as high as expected.


Apple planned to increase iPhone production by 6 million units in the second half of the year. However, the company asked suppliers to abandon these plans – now Apple is going to produce 90 million smartphones, which roughly corresponds to last year's figures.


This decision also affected the papers of Apple suppliers and manufacturers. Shares of key chipmaker Taiwan Semiconductor Manufacturing fell about 2.3% before the market opened. Shares of Hon Hai (also known as Foxconn, the company whose factories produce the iPhone) fell by about 2.9%. 


Analysts note that the world's most popular consumer durable goods have faced restrictions related to budget tightening. And this calls into question Apple's ability to achieve a significant increase in average sales prices.


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