According to the latest information, as much as there is a high demand for models in the iPhone 14 Pro line, Apple must give up plans for a 7% increase in production.
That’s because people familiar with Apple’s plans say the company has asked for a reduction of up to 6 million units of the new devices.
Thus, Apple can produce about 90 million iPhones during the last quarter of this year, that is, something very close to what was recorded last year.
Despite this drop in forecasts, Apple must continue to make adjustments and this involves decreasing production of the iPhone 14 and 14 Plus models in favor of the 14 Pro and Pro Max.
Market analysts say that this drop in demand has not only harmed Apple, but the entire global smartphone market.
Citing an example, China – the largest smartphone market in the world – is also going through a turbulent time in its economy and this has caused sales of the iPhone 14 line to drop 11% compared to 2021.
With this production adjustment by Apple, the company intends to avoid an accumulation of inventories, something that happened with Samsung.
Supply constraints ended and the industry shifted to a demand-limited market. High inventory in retail channels and low demand with no signs of immediate recovery have OEMs panicking and drastically cutting their orders in 2022, said Nabila Popal, research director at IDC.
- The Apple iPhone 14 is available from Shoptime for BRL 9,961.
- The Apple iPhone 14 Plus is not yet available in Europeian stores. To be notified when it arrives click here.