ArrowArtboardCreated with Sketch.Title ChevronTitle ChevronIcon FacebookIcon LinkedinIcon Mail ContactPath LayerIcon MailPositive ArrowIcon Print

Apple suppliers shudder as $160bn iPhone market shrinks

Production cut comes as valuation of 10 parts makers falls 20% since October peak

Wrinkles have emerged in Apple's Chinese sales, forcing the company to cut iPhone production.   © Reuters

LAS VEGAS/BEIJING -- The impact of Apple's planned 10% cutback in iPhone production for the January-March quarter is reverberating to its suppliers, as faltering Chinese sales cast a shadow over the device, which generates over $160 billion in annual sales.

Apple notified suppliers in the fall to prepare production of components for its three new iPhone models. But sales in China, which accounts for 20% of its proceeds, fell in the October-December period for the first time in six quarters, and global revenue is forecast to decline for the first time in nine quarters.

Sponsored Content

About Sponsored Content This content was commissioned by Nikkei's Global Business Bureau.

Discover the all new Nikkei Asia app

  • Take your reading anywhere with offline reading functions
  • Never miss a story with breaking news alerts
  • Customize your reading experience

Nikkei Asian Review, now known as Nikkei Asia, will be the voice of the Asian Century.

Celebrate our next chapter
Free access for everyone - Sep. 30

Find out more