It Just Doesn't Add Up: Why the Whole Screen Debacle is Probably False
For the first time in a year, Apple's stock is below $500 a share. The reason for this is because of a report posted by Japanese news site Nikkei claiming that Apple was cutting there March quarter iPhone 5 screen order from 65 million in half down to 30-40 million. The WSJ later re-posted the report, making Apple's stock drop. Here's the problem. The report makes no sense at all.
Analysts believe that this holiday quarter Apple sold about 52,000,000 iOS devices. Remember that, jOS devices, as whole, not just iPhone 5. Every year Apple has a pretty average March quarter selling about 20-25 million iOS devices. This report claims that Apple cut there iPhone 5 order, which only accounts for about 75% of iPhone sales. That 65,000,000 number doesn't include iPhone 4, 4S, or iPod Touch 4 and 5.
In what world was Apple expecting to sell 65,000,000 iPhone 5's in there soft March quarter?
The WSJ has since redacted the 65,000,000 number, keeping the article up. I think it's a pretty safe bet to say this report is false, since the only explanation would be that Apple was working on the 5S and decided to hold back on it.