iPhone 5 Component Orders Cut by Half

While we have thought that the sales of the iPhone 5 have been strong, it seems that it is not the case for a very long time. This is because from the reports made by WSJ, the components of the iPhone 5 have been cut by half based on what two sources close to the industry said to them. Apple has notified their suppliers about this and the reason for it is simply due to the lack of demand.

In addition to that, it is also expected for Apple to launch a new iPhone in June along with a cheaper alternative shortly after that. The reason why this happens so early is probably to boost the sales of the iPhone again so that the company would continue to profit from it. However, should this be done, Apple should expect to lose some customers considering that the upgrade period is getting lesser.

In other news, Apple’s top management which include both Tim Cook and Phil Schiller was spotted in China earlier last week. The two were in discussion with China Mobile which is the world’s largest mobile carrier. The topic of the discussion was most probably the iPhone and as China is a lucrative market, it is about time that Apple tap into it.