The value of shares in Apple dropped on Tuesday following reports that the company has slashed production numbers of its new iPhone 13.
Apple is going to make 10 million fewer devices than it had initially planned, reported Bloomberg News, due to the ongoing global shortage of computer chips.
The expected impact on the company’s business caused Apple’s share price to go down by 1.2% in after-hours trading.
Image: Apple has reportedly slashed production of the iPhone 13, which launched to long queues in London in September. Pic: PA
It comes as a global shortage of semiconductors impacts all industries that need computing power to run, from car manufacturers through to games consoles and mobile phones.
Earlier this year, Apple’s chief executive Tim Cook warned that the company had been using a buffer stock of semiconductors to meet demand.
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Mr Cook said Apple anticipated sales of iPads and Macs would be $3bn to $4bn lower in its third quarter than would be the case without supply issues.
The company launched its new iPhone 13 range in September and is set to hold another special event next week, in which it is expected to announce new Macs and MacBooks.
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The iPhone 13 has a new look, with diagonally-aligned cameras on the rear and what Apple says is a 20% smaller notch in the front.
But the launch was muted compared to the events in 2020, when Apple held three separate launches for a range of products using the company’s own chips.
Image: People line in front of Apple Store in Osaka City, Japan, on launch day. Pic: AP
While these chips are not something that Apple has to compete with other industries for, older “legacy node” technology used to manage battery life and other elements of the phone was a supply issue.
“Most of our issue is on licensing those legacy nodes, there are many different people not only in the same industry, but across other industries that are using legacy nodes,” explained Mr Cook.
On Day 77, US correspondents Mark Stone and David Blevins answer your questions on everything from Trump’s “Liberation Day” tariffs and their impact on American consumers, to Trump’s relationship with Putin and if they have plans for the Arctic, and penguins.
If you’ve got a question you’d like Mark, Martha, and James to answer, you can email it to trump100@sky.uk.
Don’t forget, you can also watch all episodes on our YouTube channel.
Thousands of people gathered in various cities across the US as protests against Donald Trump and Elon Musk took place in all 50 states on Saturday.
Around 1,200 demonstrations were planned in locations including Washington DC, New York City and West Palm Beach, Florida – just miles away from where the US president has this weekend played golf.
The “Hands Off!” protests were against the Trump administration’s handling of government downsizing, human rights and the economy, among other issues.
In Washington DC, protesters streamed on the grass in front of the Washington Monument, where one person carried a banner which read: “Make democracy great again.”
Image: Thousands gathered in Washington DC to rally against various Trump policies. Pic: AP
Image: Pic: AP
Another protester took aim at Mr Trump‘s handling of Russia and Ukraine, with a placard that read: “Stop Putin’s puppets from destroying America.”
Tesla boss Mr Musk also featured on many signs due to his role in controversial government cuts as head of the newly created Department of Government Efficiency (DOGE).
Image: Demonstrators in NYC. Pic: AP
Image: People marching in Atlanta, Georgia. Pic: Reuters
Image: A rally in Vermont. Pic: The Brattleboro Reformer via AP
Terry Klein, a retired biomedical scientist, said she drove to the rally to protest Mr Trump’s policies on “everything from immigration to the DOGE stuff to the tariffs this week, to education”.
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“I mean, our whole country is under attack, all of our institutions, all the things that make America what it is,” she added.
Image: A drone view of the protest at the Utah State Capitol building. Pic Reuters
Image: A protester sports a Handmaid’s Tale costume. Pic: Reuters
Image: Pic: Reuters
Some at the various protests carried Ukrainian flags, while others sported rainbow attire and waved rainbow flags in support of the LGBTQ+ community.
Other protesters wore Palestinian keffiyeh scarves and carried “Free Palestine” signs.
Protesters refuse to take Donald Trump’s policies lying down
It was built to honour George Washington, a founding father of the United States.
And in the shadow of the 555ft Washington Monument, protestors were refusing to accept Donald Trump’s policies lying down.
“Stand tall,” they chanted, again and again.
“In every city, stand tall. In every state, stand tall. In truth, stand tall. In justice, stand tall.”
Those words, shouted by thousands on the city’s iconic mall, were reinforced by the words on their placards and t-shirts.
A minister, wearing a t-shirt with ‘Troublesome Priest’ printed on it, told me she found what was happening in the US government “appalling and immortal”.
One man said he had won the long-distance award, having travelled 2,750 miles from Hawaii for the protest.
“I finally reached a breaking point,” he added. “I couldn’t take it anymore.”
Another woman said: “We have to speak up, we have to act, we have to do something, because this is not America.”
I asked her what she would say to those who argue the people did speak when they elected Donald Trump as president.
She replied: “Some people have spoken and then some people have not and those of us that have not, we need to speak now.”
Thousands marched in New York City’s midtown Manhattan and in Boston, Massachusetts, while hundreds gathered in the sunshine outside the Utah State Capitol building in Salt Lake City, and in the rain outside the Statehouse in Columbus, Ohio.
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Mr Trump – who shook financial markets with his tariffs announcement this week – spent the day in Florida, playing a round of golf before returning to his Mar-a-Lago residence.
Image: People protest in Manhattan. Pic: Reuters
Image: Activists in Palm Beach Gardens, Florida. Pic: AP
Some four miles from Mar-a-Lago, more than 400 people gathered – and drivers honked their horns in support of protesters who held up signs including one which read: “Markets tank, Trump golfs.”
The White House has said Mr Trump plans to go golfing again on Sunday.
Global financial markets gave a clear vote of no-confidence in President Trump’s economic policy.
The damage it will do is obvious: costs for companies will rise, hitting their earnings.
The consequences will ripple throughout the global economy, with economists now raising their expectations for a recession, not only in the US, but across the world.