Tech & Science Apple warns suppliers of lower parts orders for new iPhones: Nikkei

15:42  08 june  2018
15:42  08 june  2018 Source:   reuters.com

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June 8 (Reuters) - Apple Inc has asked its supply chain to manufacture about 20 percent fewer components for iPhones in the latter half of 2018, the Nikkei Asian Review on Friday cited industry sources as saying, sending the iPhone maker’s stock down 2 percent. Apple expects total shipments

“At least part of this lower order forecast probably relates to Apple just being a little more realistic.” “ Apple is quite conservative in terms of placing new orders for upcoming iPhones this year,” said one of four industry sources cited by the Nikkei Asian Review.

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Apple Inc has asked its parts suppliers to manufacture about 20 percent fewer components for iPhones in the second half of 2018, the Nikkei on Friday reported, sending the iPhone maker's stock down 2 percent.

Apple expects total shipments of iPhones to be launched this year to be 80 million, less than the 100 million shipments that Apple planned for around the same time last year, the financial newspaper said, citing two industry sources.

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Apple has warned suppliers it will need 20% fewer iPhone components for the second half of the year, according to the Nikkei Asian review, citing industry sources.

" Apple is quite conservative in terms of placing new orders for upcoming iPhones this year," one of the four sources, who is in the supply chain, told the Nikkei Asian Review. Apple suppliers are undergoing the verification process for the new iPhones this month, one source said.

"Apple is quite conservative in terms of placing new orders for upcoming iPhones this year," one of the sources told Nikkei.

Shares of Apple, which usually launches iPhones in the second half of the year, fell 2.2 percent to $189.20 in premarket trading. Shares of Apple suppliers AMS fell 6 percent, while those of Dialog Semi fell 4.1 pct.

The company intends to introduce three new iPhones in 2018, according to reports, and is set to start shipping in September after Apple's annual product launch.

Apple did not immediately respond to a request for comment.

(Reporting by Vibhuti Sharma in Bengaluru; Editing by Saumyadeb Chakrabarty)

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