Apple (NASDAQ:AAPL)
Apple (NASDAQ:AAPL) Prior to the device going into mass production, has reportedly reduced shipping projections for its new MacBook Pro laptops by up to 30%, a leading analyst claimed on Wednesday.
Analyst Ming-Chi Kuo from TF International Securities tweeted that the tech giant dropped orders for both the 14-inch and 16-inch models of the device, expected to have been announced in late 2022. Kuo called the development a “structural danger” to component suppliers.
“It is unusual for Apple to decrease orders before the peak season/new product mass production, which suggests that the demand is much lower than Apple’s forecasts, so MacBook shipments may continue to decline [year-over-year] at least in [first-half of 2023],” Kuo stated in a blog post.
The order reduction, according to Kuo, was caused by the weakening of the global economy and a decline in employees who worked from home, and its negative effects should last for six to nine months. Shares of Apple (AAPL) decreased less than 0.5% on Wednesday, reaching $153.96.
Kuo also noted that the next 14-inch and 16-inch MacBook Pros are anticipated to contain new processors, which would be a “major enhancement” over earlier iterations of the machine.
The Apple processor (which uses a high-end ABF substrate) and Mini-LED display are the MacBook Pro’s two main selling points, so Kuo said that the structural danger to the high-end ABF substrate and Mini-LED sectors is the MacBook Pro’s substantially lower-than-expected demand.
The analyst noted that while if Apple’s (AAPL) MacBook order reduction is less severe than that of its rivals, it still shows that the company’s premium goods are “not immune” to the global economic downturn.
A Tuesday report published by the research firm Appsumer shows Apple’s (AAPLadvertising) revenue increasing “significantly” since the company’s App Tracking Transparency initiatives went live.
Featured Image – Megapixl © Hupeng
Author Jowi Kwasu