Apple said to be scaling back production of entire iPhone 14 range

Posted:
in iPhone edited September 28
A new claim says that despite the popularity of the iPhone 14 Pro, overall demand for the iPhone 14 range has been lower than expected.

Closeup of iPhone 14 Pro and iPhone 14 Pro Max
Closeup of iPhone 14 Pro and iPhone 14 Pro Max


Previously, multiple reports have claimed a strong demand, and also Apple shifting production to the iPhone 14 Pro to meet orders. Now, however, a new report claims that a lack of demand means Apple has asked suppliers to scale back production.

According to Bloomberg, unnamed sources say that the increased demand expected by Apple has failed to appear. Suppliers have reportedly been told that Apple now intends to make 90 million handsets for the second half of the year.

That would reportedly be a drop of six million from Apple's original estimates. It marks a decrease of only 6.7% from those figures, but it means that overall iPhone 14 production is roughly the same as for the iPhone 13 range.

This is reportedly what Apple had originally expected, up to a few weeks before release when it revised its estimates upwards.

Despite the production for the iPhone 14 line as a whole being cut, it appears that the average selling price is dramatically higher. Various accounts have said that demand for the iPhone 14 Pro models is higher than historical for the higher-end iPhone, so even with static production year-over-year, this still results in better financial performance for the company.

At present, wait times for delivery of the iPhone 14 Pro and iPhone 14 Pro Max continue to be measured in weeks, but they are shortening. Based on the shipping delays, it appears that the Pro models are seeing high demand, and the iPhone 14 Plus is which is shipping on October 10, is not.

It's not possible to be accurate, or even certain, of suppositions derived from shipping delays, nor necessarily of production cuts. Apple sells more iPhones immediately skewed towards the Pro models immediately after launch than later, so there is always some slump, and some redirecting of resources.

Read on AppleInsider

Comments

  • Reply 1 of 15
    Make an iPhone 14 mini with Touch ID in the start button, no notch and make it possible to turn off Deep Fusion and I buy one immediately!
    edited September 28 M68000pulseimagesbaconstang
  • Reply 2 of 15
    Previously, multiple reports have claimed a strong demand, and also Apple shifting production to the iPhone 14 Pro to meet orders. Now, however, a new report claims that a lack of demand means Apple has asked suppliers to scale back production.

    Somebody is trying to game the market. Don’t know if it’s the “demand is huge” group or the “nobody is buying them” crowd, but both can’t be true. Somebody is lying to make money, possibly both of them.
    jas99muthuk_vanalingammattinozigorskyFileMakerFellerwatto_cobrajony0
  • Reply 3 of 15
    opinion said:
    Make an iPhone 14 mini with Touch ID in the start button, no notch and make it possible to turn off Deep Fusion and I buy one immediately!
    The Mini isn’t coming back. The start button is on the way out. The notch in some form is here to stay, and Deep Fusion is the future for Apple photography. Don’t hold your breath. 
    FileMakerFellerwatto_cobrajony0
  • Reply 4 of 15
    DAalseth said:
    opinion said:
    Make an iPhone 14 mini with Touch ID in the start button, no notch and make it possible to turn off Deep Fusion and I buy one immediately!
    The Mini isn’t coming back. The start button is on the way out. The notch in some form is here to stay, and Deep Fusion is the future for Apple photography. Don’t hold your breath. 
    I think they meant the side button on phone.  I doubt that is going away. What we really want is underscreen Touch ID 
    edited September 28 retrogustopulseimagesbaconstangwatto_cobra
  • Reply 5 of 15
    jas99jas99 Posts: 120member
    Reports about cutting iPhone production come out every year. 

    Why? Because it works. 

    The stock drops steeply, those “leaking” the “news” make money on their short positions, and then the news disappears into the mist, forgotten. 

    Sometimes there are even reports from other analysts stating that no such data exists in their analyses of the supply chain. 

    Once Apple itself cautioned against trying to interpret supply chain “intelligence”.

    But every year it’s the same old thing and people trade stock based on it. 

    Liars manipulate the market because it’s profitable. 

    And they are never prosecuted. 

    But they should be. The price manipulators cost those saving for retirement a great deal. 
    muthuk_vanalingamigorskyDAalsethlooplessFileMakerFellerJanNLwatto_cobrajony0
  • Reply 6 of 15
    FUD. Period.

    Another lazy Bloomberg hit piece, what else is new...
    igorskyFileMakerFellerwatto_cobrajony0
  • Reply 7 of 15
    mattinozmattinoz Posts: 1,945member
    Image is a wonderful reminder of how wrong these rumours can be,
    igorskyFileMakerFellerwatto_cobra
  • Reply 8 of 15
    opinion said:
    Make an iPhone 14 mini with Touch ID in the start button, no notch and make it possible to turn off Deep Fusion and I buy one immediately!
    Can't figure out if this is satire.
    edited September 28 FileMakerFellerwatto_cobra
  • Reply 9 of 15
    igorsky said:
    opinion said:
    Make an iPhone 14 mini with Touch ID in the start button, no notch and make it possible to turn off Deep Fusion and I buy one immediately!
    Can't figure out if this is satire.

    People love small phones including me! I can’t get used to a big phone. 

    baconstangopinionwatto_cobra
  • Reply 10 of 15
    jas99 said:
    Reports about cutting iPhone production come out every year. 

    Why? Because it works. 

    The stock drops steeply, those “leaking” the “news” make money on their short positions, and then the news disappears into the mist, forgotten. 

    Sometimes there are even reports from other analysts stating that no such data exists in their analyses of the supply chain. 

    Once Apple itself cautioned against trying to interpret supply chain “intelligence”.

    But every year it’s the same old thing and people trade stock based on it. 

    Liars manipulate the market because it’s profitable. 

    And they are never prosecuted. 

    But they should be. The price manipulators cost those saving for retirement a great deal. 
    So true. These scumbags must sit around and decide the time is ripe for another "Apple is doomed" rumor. Push it out on semi-reputable feeds like Bloombergs,  reap the rewards, and laugh all the way to the bank. They only need a small dip to make serious $. 
    FileMakerFellerwatto_cobra
  • Reply 11 of 15
    lkrupplkrupp Posts: 10,160member
    DAalseth said:
    Previously, multiple reports have claimed a strong demand, and also Apple shifting production to the iPhone 14 Pro to meet orders. Now, however, a new report claims that a lack of demand means Apple has asked suppliers to scale back production.

    Somebody is trying to game the market. Don’t know if it’s the “demand is huge” group or the “nobody is buying them” crowd, but both can’t be true. Somebody is lying to make money, possibly both of them.
    You’re damn right somebody is gaming the system. AAPL dropped like a rock on this RUMOR, over $4, 2.75% Too bad it’s legal to do this apparently. Want to know why the average Joe doesn’t trust the stock market? THIS.
    edited September 28 FileMakerFellerwatto_cobrajony0
  • Reply 12 of 15
    DAalsethDAalseth Posts: 2,385member
    lkrupp said:
    DAalseth said:
    Previously, multiple reports have claimed a strong demand, and also Apple shifting production to the iPhone 14 Pro to meet orders. Now, however, a new report claims that a lack of demand means Apple has asked suppliers to scale back production.

    Somebody is trying to game the market. Don’t know if it’s the “demand is huge” group or the “nobody is buying them” crowd, but both can’t be true. Somebody is lying to make money, possibly both of them.
    You’re damn right somebody is gaming the system. AAPL dropped like a rock on this RUMOR, over $4, 2.75% Too bad it’s legal to do this apparently. Want to know why the average Joe doesn’t trust the stock market? THIS.
    TBH I don’t trust the market. We have some assets in very safe very conservative mutual funds (my partner’s insistence). But my major investments are in property. That’s what I’m looking toward making my retirement on. 
    FileMakerFellerwatto_cobra
  • Reply 13 of 15
    jas99 said:
    Reports about cutting iPhone production come out every year. 

    Why? Because it works. 

    The stock drops steeply, those “leaking” the “news” make money on their short positions, and then the news disappears into the mist, forgotten. 

    Sometimes there are even reports from other analysts stating that no such data exists in their analyses of the supply chain. 

    Once Apple itself cautioned against trying to interpret supply chain “intelligence”.

    But every year it’s the same old thing and people trade stock based on it. 

    Liars manipulate the market because it’s profitable. 

    And they are never prosecuted. 

    But they should be. The price manipulators cost those saving for retirement a great deal. 
    [emphasis added]
    While I think this sort of manipulation should be better regulated, I'm not sure the highlighted statement is always true - I think it depends on your investment timeframe and decision-making process. Short term, these activities are designed to cause volatility (in either direction) and it's that movement that allows active traders to make money. They're trading based on market forces rather than the fundamental behaviour of the companies that the stocks represent, and markets are susceptible to manipulation. These sorts of rumours often crop up in the weeks before earnings reports are announced.

    If you're saving for retirement, investments should be made on the basis of fundamental analysis - sound companies will always grow in value when measured over the years. As Warren Buffett says, in the short term the market is a voting machine, in the long term it is a weighing machine.

    What hurts is when the volatility of the market exceeds a certain level and everybody sells in a panic. This is usually preceded by everybody buying in a panic, at which point it is often wise to sell the stock to realise gains and buy back in when the panic is over. Another way of looking at this is that short-term price drops allow you to buy more of the stock cheaply; when it recovers you can sell some for a short-term profit.

    Back in 2008/9 my superannuation account reported shocking news: a drop in value of 30% year-on-year. But in each of the previous two years it had gone up by an average of 20%. Had I really gained or lost anything? If I had been about to retire and basing my expectations on the recent gains, sure. But planning ahead, learning how the market works, how economic cycles behave, etc and ignoring the short-term noise gives me peace of mind. Some of the best advice I ever received was to plan for retirement as though you only have half of what you think you have.
    baconstang
  • Reply 14 of 15
    igorsky said:
    opinion said:
    Make an iPhone 14 mini with Touch ID in the start button, no notch and make it possible to turn off Deep Fusion and I buy one immediately!
    Can't figure out if this is satire.
    No, it´s genuine wishes. If I have to pick just one, then it´s the option to turn off Deep Fusion.
  • Reply 15 of 15
    DAalseth said:
    opinion said:
    Make an iPhone 14 mini with Touch ID in the start button, no notch and make it possible to turn off Deep Fusion and I buy one immediately!
    The Mini isn’t coming back. The start button is on the way out. The notch in some form is here to stay, and Deep Fusion is the future for Apple photography. Don’t hold your breath. 
    How can you be so sure? I just hope Apple starts listen to customers - it is about time.
Sign In or Register to comment.