We’ve been hearing all sorts of bad news with regards to Apple of late; Apple Maps is rubbish, Google Maps for iOS 6 is great, the Californians posted a record single-day loss, iPhone profits have “likely peaked”… yadda yadda yadda.
The latest tale of woe suggests Apple has ordered production cuts for the iPhone and 10in iPad. Say it ain’t so.
We’re thanking Forbes for the freshest doom and gloom, which in turn credits Susquehanna Financial Group chip analyst Chris Caso.
Firstly, in relation to the iPhone production cuts, Chris scribbles - in a note to investors: “We conclude that iPhone shipments are likely to miss consensus expectations for [the December quarter or the March quarter or both].”
Specifically, the original expectation of 40-45 million iPhones is tipped to fall to around 35-40 million.
Discussing the iPad production reduction, Chris adds: “Further, our checks indicate further declines on 10-inch iPad production, suggesting that the iPad mini is indeed cannibalizing the larger iPad, also contrary to the view of some others.”
Is it the end of the world? Or the end of Apple, at least? Chris thinks not. He concludes: “We don’t think this provides cause to panic, and one can argue that this is already reflected in current stock prices.
“But we don’t think one can argue the recent production cuts are irrelevant — something has indeed changed.”