Apple shares fall after reports indicate the company is bailing out plans to ramp up iPhone 14 production

Customers try new iPhones at the Apple Store where the iPhone 14 series will go on sale September 16, 2022 in Shanghai, China.

VCG | China Optical Group | Getty Images

shares apple It fell about 4% on Wednesday after a report that the company asked suppliers to bail out plans to ramp up iPhone 14 production. Demand for new models failed to rise as expected, according to Bloomberg.

According to the report, Apple will no longer aim to increase production by 6 million units in the second half of the year as planned. The company will strive to produce 90 million units instead, which is roughly in line with Apple’s forecast and production from last year, according to Bloomberg.

The report also affected Apple suppliers and manufacturers. Shares of the major Taiwanese semiconductor chip maker also fell about 3%. shares Hon hye, also known as Foxconn, is down about 2.9%. Foxconn builds iPhones from Apple.

Bloomberg reports that demand for the iPhone 14 Pro is higher than for other new phones, prompting at least one Apple supplier to shift production capacity from lower-end models to the premium version.

An Apple representative declined to comment.

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