According to two supply-chain sources, the demand for iPhones is declining and already those weak sales have made a dent in Apple’s pre-trading stock. Apple has already cut down on orders for iPhone 5parts due to lower than expected demand.According to the Apple’s iPhone 5 inventory for the first quarter of 2013, more phones were getting built than necessary.
Peter Misek, the analyst with Jefferies has reported that the orders for iPhone 5 components have been cur down to 25-35 million units from 35-40 million.Apparently,the reported component cuts is the result of the rivalry between the world’s two biggest smartphone maker,Apple and Samsung, that seems to get more intense every year. Samsung has successfully sold 100 million Android Galaxy S series devices.
The demand for iPhone 5 has been weaker than expected. Apple has cut down on initial order of 65 million screens for iPhone 5 for the first quarter of 2013 to about 32 million.There are three manufacturers for the displays,LG Display,Sharp and Japan Display.There have been slashes for other components orders too.
Apple certainly doesn’t want to see such big fall in expectations but the competition in the market for smartphones is only getting so fierce. iOS-powered
phones have been leading the market in the US but it is the Android modes that seem to lead in UK and the rest of the world.
iPhone 5 sales touched 5 million in the first week of its introduction, when it hit the shelves in nine countries.Today,it is for sale in more than hundred countries.Apple has already notified its suppliers regarding the cut down on the orders for the parts of iPhone 5.Apple will reveal its sales figures later in January 2013 for the iPhone 5.However, its more recent launches have been a success in China and Russia.