Apple reportedly told some suppliers to reduce component production for the iPhone 18 Pro and iPhone 18 Pro Max weeks after their September launch.
Reuters, citing Nikkei Asia, said Apple had become more conservative on shipments since early September. Component orders for October were cut by at least 15% from what the company originally requested, according to Nikkei, which cited multiple people familiar with the matter.
Reuters said it could not independently verify the report. Apple did not immediately respond to requests for comment outside regular business hours.
Higher prices meet softer demand
The iPhone 18 Pro starts at $1,199 and the Pro Max at $1,299, each $100 more than its predecessor. The reported reductions follow softer device demand from late August into October, though Nikkei said Apple’s changed iPhone launch schedule could also be a factor.
Memory-chip costs are another pressure point. Tech companies’ push to secure advanced chips for AI data centers has contributed to shortages and price increases that are expected to weigh on computer and smartphone markets, Reuters reported. Apple raised iPad and MacBook prices in June, saying it could no longer absorb rising memory and storage costs.
Investors react to the report
MarketWatch reported that Apple shares initially fell nearly 2% in Friday premarket trading after the component-order report.
