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When its about Apple, we always think of success, high demand and great profit but that is not the case all the time, as this company also might faces some downs too. And this time the company is facing some downs and that is too in its most powerful region, iPhone 5. As per the report of The Wall Street Journal, the fruit company is said to have cut the orders for the parts of iPhone 5 and the only major reason that seem that has caused this cut down is reduction in the demand of iPhone 5.
The source which says the news is legitimates mentions that Apple has cut orders for multiple iPhone 5 components, but say screen orders specifically have been cut by nearly 50 percent. This is a direct indication that the demand for iPhone 5 has reduced unexpectedly. Now let’s see the reasons for this downfall in demand.
The major reason is the competition that is going in the tech world for the first position, especially when its about smartphones. Whether its Samsung, Nokia, Sony, and rumored Amazon etc, each are trying to make best smartphone, which has directly effected the demand of iPhone 5. These new brands with amazing features are distracting people from Apple’s popular smartphone, iPhone 5.
Another reason, that will make Apple realize that they haven’t lost the battle yet is that, may be after 6 months of the release of iPhone 5, people are now looking for the next-gen iPhone that will be even more amazing than the recent one. This means its not the downfall of demand but a small halt after which the demand curve of the company will higher and higher.
However, one thing that is quite difficult to absorb is that Apple has cut the demand of iPhone 5 by 50 percent, which is something that will definitely worry quite a lot of Apple investors.
What are your thoughts on this?