The Cupertino, California-based corporation instructed at least one Chinese manufacturer to immediately suspend manufacturing of iPhone 14 Plus components. The decision comes at a time when the worldwide smartphone market has been slowing, down 9% in the third quarter compared to the same period a year ago, according to Canalys statistics, which predicts sluggish demand for the next six to nine months.

The iPhone 14 Plus, which is part of a new range introduced on 7th of September, is positioned as a less expensive alternative to its more premium iPhone Pro models and began shipping to consumers on 7th of October. Apple halted its intention to boost manufacturing of the new iPhone models last month when an expected jump in demand did not materialize. Despite company hoping, that new models will attract more customers, the reality is different. iPhone Pro models are in the end selling better than entry-level handsets, which can also be taken as a win by Apple.

Movement of Apple stocks in the last five years. (Source: Trading Economics)

Sources:

https://tradingeconomics.com/aapl:us

https://www.cnbc.com/2022/10/18/apple-ticks-down-on-report-oof-cut-to-iphone-14-plus-production.html

https://www.bloomberg.com/news/articles/2022-09-28/apple-iphone-14-sales-not-strong-enough-to-trigger-production-boost?utm_medium=cpc_search&utm_campaign=NB_ENG_DSAXX_DSAXXXXXXXXXX_EVG_XXXX_XXX_Y0469_EN_EN_X_BLOM_GO_SE_XXX_XXXXXXXXXX&gclid=CjwKCAjwwL6aBhBlEiwADycBIIpy0UShIgaVEtUMvS93DUBtiJLlYoEZJ59HivmGFxYZAYl3litzChoCtZYQAvD_BwE&gclsrc=aw.ds#xj4y7vzkg

https://www.reuters.com/technology/apple-cuts-production-iphone-14-plus-information-2022-10-18/

https://www.investing.com/news/stock-market-news/apple-cuts-production-of-iphone-14-plus--the-information-2915214