Report: Apple reduces iPhone orders for second quarter

Posted:
in iPhone edited January 2014
Slow European sales have caused Apple to reduce its iPhone shipment expectations for the second fiscal quarter ending March by as much as 50 percent, according to published report.



Citing sources at the Cupertino-based company's component suppliers, the Chinese-language Economic Daily News said second-quarter iPhone shipments have been cut from 2 million units to about 1.0 - 1.2 million.



Slow sales of the touch-screen handset in Europe are to blame for the move, the Daily News said, without providing any further details.



During last week's Macworld Expo, Apple chief executive Steve Jobs reported overall sales of more than 4 million iPhones to date, adding that the company is sustaining a daily sales rate of about 20,000 units.



At that rate, Apple should be on track to report sales of approximately 1.8 million units for the March quarter, which runs contrary to the claims by the Daily News .



Additionally, it should be noted that Apple often seeks to operate under a dual supplier strategy, where, for instance, it would source the iPhone's touch-screen component from not one but two distinct suppliers.



Therefore, reports out of individual component suppliers may not be representative of the company's overall plans and targets.
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Comments

  • Reply 1 of 52
    Quote:
    Originally Posted by AppleInsider View Post


    Slow European sales have caused Apple to reduce its iPhone shipment expectations for the second fiscal quarter ending March by as much as 50 percent, according to published report.



    Citing sources at the Cupertino-based company's component suppliers, the Chinese-language Economic Daily News said second-quarter iPhone shipments have been cut from 2 million units to about 1.0 - 1.2 million.



    Citing sources?as you have done does not support you referencing to it as a "report," "published" or otherwise.
  • Reply 2 of 52
    This article is confusing. Either 1) Apple DID lower iPhone sales projections or 2) did the Economic Daily News speculate that Apple WILL lower iPhone sales projections.
  • Reply 3 of 52
    They're probably scaling back production of this model before introducing the next model

  • Reply 4 of 52
    jlljll Posts: 2,709member
    Why does AI have to refer to Apple as "the Cupertino-based company" or "the Cupertino, Calif.-based firm" in every news article?
  • Reply 5 of 52
    zandroszandros Posts: 537member
    Quote:
    Originally Posted by JLL View Post


    Why does AI have to refer to Apple as "the Cupertino-based company" or "the Cupertino, Calif.-based firm" in every news article?



    Variation. How many other synonyms to "Apple Inc." can you think of?



    /Adrian
  • Reply 6 of 52
    teckstudteckstud Posts: 6,476member
    There goes Steve's 10 Million projection. Expect to see more AAPL decline.
  • Reply 7 of 52
    kreshkresh Posts: 379member
    This is easy enough. It's just more stock speculators releasing bad news on a popular stock that has been hit recently.



    Due to recent loses the stock is a good buy. If they can cause the price to trop a few more bucks then that's extra profit. By the time the report is refuted they will have already purchased stock at the new low price



    It's all a game to these people. Stock Market = Legalized Gambling
  • Reply 8 of 52
    nceencee Posts: 836member
    I would agree. ALL of the nay-sayers are having a field day.



    Kick the little guy when he's down



    Talk about OVER RATED - let's look at Google! A company that has no products, just a TON of hype, and look where their stock is???



    I guest it's about time, for them to start getting sued by EVERYONE who uses the internet …



    Skip
  • Reply 9 of 52
    boogabooga Posts: 1,072member
    Quote:
    Originally Posted by teckstud View Post


    There goes Steve's 10 Million projection. Expect to see more AAPL decline.



    I'm not so sure. I think the success of the iPhone is almost completely dependent on the SDK being released next month. That will either make or break it as a "platform" instead of a one-off stunt. If they release an SDK that is nothing more than Dashboard widgets, the iPhone is probably doomed. If they release a sandboxed Cocoa with Objective-C, Python, JavaScript, and dare I ask for Java then the iPhone (and iPod Touch) become the next Big Thing and start cannibalizing MacBook Air sales (that's a good thing, IMHO).
  • Reply 10 of 52
    boogabooga Posts: 1,072member
    Quote:
    Originally Posted by ncee View Post


    I would agree. ALL of the nay-sayers are having a field day.



    Kick the little guy when he's down



    Talk about OVER RATED - let's look at Google! A company that has no products, just a TON of hype, and look where their stock is???



    I guest it's about time, for them to start getting sued by EVERYONE who uses the internet …



    Skip



    For a company with no products, they make an AWFUL LOT of money!



    Their products are your eyes.
  • Reply 11 of 52
    Well I guess that they (as in AAPL) underestimated the Europeans' reluctance to buy a "non" subsidised phone w/o 3G at 399 Euro.



    Think about it - we all know that a 3G phone is in the pipeline

    3G network are ubiquitous in Europe

    A 2 Year contract for the phone seriously blocks your options for the near future.



    I for once -just being a very representative sample of 1- am waiting until a 3G model comes out. I have been battling with EDGE on my E50 for long enough to appreciate the benefits of a faster connection. I rather buy an iPod Touch instead. Yes-I dont have a phone, but wait until Skype churns out a Skype client for this platform (once the SDK is out).



    Ok I will have two devices -so what.



    In order to succeed in the European market Apple needs to churn out a 3G HSDPA version *fast*



    And I already deplore all the early adopters who will be bogged down by a two year contract. It shows : never by a model with a Dot 0 revision
  • Reply 12 of 52
    asdasdasdasd Posts: 5,041member
    This report is either nonsense, Apple have a new model in the works, or they are changing suppliers. The conference call was specific about how many they are selling, and being on target for the 10 million by the end of this year. Apple guides conservatively. If they were expecting to see a fall of 50% this quarter they would have priced it in. Further their reaction in Europe , like in the US, would be to reduce the price to make targets.
  • Reply 13 of 52
    I wouldn't be surprised if Apple backs off on any inventory position over the next 90 days. There are problems with the economy - enough for Bush to be willing to hand out $150 Billion to boost it up again.



    For any company in the consumer market watching inventories closely while the economic issues play out is very smart - and Apple is a pretty smart company.
  • Reply 14 of 52
    jeffdmjeffdm Posts: 12,946member
    Quote:
    Originally Posted by Zandros View Post


    Variation. How many other synonyms to "Apple Inc." can you think of?



    /Adrian



    For a long time, it didn't vary. AI used just one single ridiculously long and stuffy way to say "Apple".



    It's unnecessary. Variation by itself does not make better copy, especially if they are switching among three stuffy ways to refer to Apple. The only good reason to put it in there is to clarify who it is, and that's completely not necessary.
  • Reply 15 of 52
    satchmosatchmo Posts: 2,699member
    Quote:
    Originally Posted by Booga View Post


    I'm not so sure. I think the success of the iPhone is almost completely dependent on the SDK being released next month. That will either make or break it as a "platform" instead of a one-off stunt. If they release an SDK that is nothing more than Dashboard widgets, the iPhone is probably doomed. If they release a sandboxed Cocoa with Objective-C, Python, JavaScript, and dare I ask for Java then the iPhone (and iPod Touch) become the next Big Thing and start cannibalizing MacBook Air sales (that's a good thing, IMHO).



    That plus some sort of penetration in Asia.
  • Reply 16 of 52
    jeffdmjeffdm Posts: 12,946member
    Quote:
    Originally Posted by ncee View Post


    Talk about OVER RATED - let's look at Google! A company that has no products, just a TON of hype, and look where their stock is???



    No products? That may be technically true, but it's still a false argument. A product isn't necessary if you can make your money on services.



    I agree that their price is too high for their earnings, but they are making plenty of money, for a company that you oddly suggest has nothing to sell.
  • Reply 17 of 52
    jeffdmjeffdm Posts: 12,946member
    Quote:
    Originally Posted by teckstud View Post


    There goes Steve's 10 Million projection. Expect to see more AAPL decline.



    They've already sold four million, and sold 2.5 million last quarter. Even if they only sell 1.5 million a quarter, they can hit the projection. There are suggestions by Apple and AT&T that the 3G model will be available this year too.
  • Reply 18 of 52
    irnchrizirnchriz Posts: 1,549member
    I want to get an iPhone but the O2 contracts are crap
  • Reply 19 of 52
    Quote:
    Originally Posted by JeffDM View Post


    They've already sold four million, and sold 2.5 million last quarter. Even if they only sell 1.5 million a quarter, they can hit the projection. There are suggestions by Apple and AT&T that the 3G model will be available this year too.



    You obviously weren't paying attention during the conference call......



    Peter Oppenheimer:

    "I’ll leave the analysis to you but we’re very happy with iPhone momentum. Our customers are raving about their iPhones and we remain confident in our goal for 10 million for calendar 2008."



    So, contrary to popular opinion, the target is 10million in CY2008

    (who'da thought?!)



    Don't worry - they'll do this anyway - once they release the 3G version!



  • Reply 20 of 52
    Quote:
    Originally Posted by irnchriz View Post


    I want to get an iPhone but the O2 contracts are crap



    It's a more competitive market here in UK where phones are subsidised, if Apple reduced their prices, they would fly off the shelves.
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