According to reports by the Wall Street Journal and Japanese news service Nikkei today, Apple has cut its requests in half to parts manufacturers for iPhone 5 LCD screens when compared to its original order projections.
Stocks go down
Apple stocks fell 3.57 percent ($18.55) or to $501.75 at the end of today’s trading after investors and analysts received word of Apple’s pullback on iPhone 5 screen components.
iPhone 5 loses appeal?
The apparent cutback in LCD screen orders for iPhone 5s was seen as an indication of the devices’s popularity dwindling.
James Cordwell, an analyst for Atlantic Equities Service stated to Bloomberg News that the iPhone 5 may be close to peaking:
“We’re getting close to saturation.”
Per Lindberg, analyst for ABG Sundal Collier was even more to the point and said:
“The iPhone is no longer unique, fashion fatigue will transpire, and the rich price premium will be impossible to sustain.”
Wait and see
If the reports concerning Apple’s cutback on LCD screens for iPhone 5 production are true, it may not necessarily mean the end of the iPhone 5 as a popular smartphone, but the public’s growing awareness that Apple’s competitors have viable options to the iPhone.
Via Daily News
Comments