Apple hasn't cut iPhone orders, says Foxconn source

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A Foxconn facility

 

 

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A source inside Foxconn claims that December 2022 iPhone orders were unchanged, refuting claims that Apple is cutting back after weak demand.

Recent reports, including one from Wedbush, have said that Apple has asked suppliers to reduce production of iPhones, MacBooks, and AirPods. The reports contributed to Apple's market value slipping below $2 trillion.

According to Reuters, however, a new statement from Foxconn appears to refute the claims, at least regarding the iPhone. Foxconn's major iPhone plant at Zhengzhou as been subjected to COVID lockdowns, power supply problems, and many concerns about staff treatments.

However, a spokesperson for the company said that production had "basically returned to normal."

Significantly, an unnamed second source further claimed that Foxconn's revenue growth in December 2022 was comparable to that of November 2022's. The months following Apple's launch of an iPhone represent a peak production period, so the source said that Apple did not cut orders.

Apple is regularly reported to have cut orders, and the reports are generally made in December or January. Frequent reasons cited are weak demand, when in reality it's an annual seasonal variation that very much depends on consumer demand for specific products.

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