Apple shares fall on reports that the company is failing on its plan to boost iPhone 14 production
Customers try out a new iPhone at an Apple store when the iPhone 14 series goes on sale on September 16, 2022 in Shanghai, China.
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Shares of Apple fell about 4% on Wednesday according to a report in which the company asked suppliers to guarantee its plans to increase iPhone 14 production. Demand for new models did not spike as expected, according to a report. 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. Instead, the company will try to make 90 million units, roughly matching Apple’s forecast and production from last year, according to Bloomberg.
The report also affects Apple suppliers and manufacturers. Key chip maker shares Taiwan Semiconductor Manufacturing also decreased by about 3%. Shares of Hon Hai, also known as Foxconn, fell about 2.9%. Foxconn makes Apple’s iPhones.
Bloomberg reported that demand for the iPhone 14 Pro was higher than for other new phones, prompting at least one Apple supplier to shift production capacity from lower-end models to high-end versions.
An Apple representative declined to comment.
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