TOKYO, Japan - Apple Inc. has reduced its first-quarter planned production for three of its new models by 10%, according to a Nikkea Asian Review report on Wednesday. This forecast slash comes after the company cut its quarterly sales forecast last week.
According to Nikkei, late last month, Apple requested its suppliers to reduce the production of the new iPhones for January-March to a range of 40-43 million units, rather than the planned 47-48 million units.
Nikkei said that this request was made before the company announced its forecast cut.
Market research firm Canalys estimated that smartphone shipments in China fell by 12% last year and is expected to drop to another 3% this year. Analysts say that there has been little reaction to shares of Apple suppliers as the market had already factored the production cuts into consideration.