iPhone, News

iPhone Production Cut Down by 25% Ahead of iPhone 5

While we’re not 100% sure when the next iPhone is going to be released, you can certainly count on it happening in 2012. The next iPhone is expected to be released in the Fall, and it seems like Apple is getting ready for it…

This week in an investors note, Sterne Agee analyst Shaw Wu announced that Apple has reduced the production orders of iPhones between 20% and 25%. This isn’t happening because Apple is moving less units, but because they are gearing up to launch the new iPhone soon:

From our understanding, the reason for the reduction is not demand related but rather due to the upcoming 6th generation iPhone refresh likely in the September-October timeframe.

It appears that AAPL is opting to be conservative with its suppliers to factor in a potential 2-quarter pause ahead of the refresh and also to manage inventory. We believe this helps explain why its June quarter guidance was somewhat more conservative.

Wu also said that iPad orders have substantially gone up, rising from 14 million to 15 million units for the same quarter.

I think it’s safe to say Apple has already begun production on the new iPhone. Now it’s waiting time…

Source: BGR

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