However, the latest reported leak has come as quite the surprise, showing off better specifications than expected for Apple’s long-rumored 4-inch iPhone, which is set to replace the iPhone 5S at some point this year. Production is expected to resume at full capacity in the April-June quarter, once the inventory is adjusted in stores around the world. Also, Apple plans on including a 3100mAh battery on the smartphone, whereas the current iPhone 6s Plus has a 2750mAh battery.
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High iPhone stock levels are prompting Apple to cut production of the 6s and 6s Plus by 30 percent between January and March, according to the news site.
Shares of the worlds most valuable company dropped 2.8 percent to $102.42 at 12:17 p.m.in NY.
“This is an eye-opening production cut which speaks to the softer demand that Apple has seen with 6s out of the gates”, FBR Capital Markets analyst Daniel Ives said.
There is a message from “Supply Chain” which states that iPhone 7 and iPhone 7 Plus will be launched this year, with the same screen size i.e. 4.7 inches and 5.5 inches, but an upgraded configuration.
Suppliers for Apple’s iPhone devices will be affected by this move.
CNBC added to a growing base of reports that Apple (NASDAQ:AAPL) will cut iPhone production, saying that the tech giant “may significantly slash” its iPhone 6S and 6S Plus output.
In recent weeks, Wall Street analysts have also tempered their views on the high-flying stock. Since early December, their estimates have been cut by about a third of the analysts monitored by Thomson Reuters. Apple has turned its attention to the profitable China market, where sales of iPhones have grown 65 percent year-on-year.
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The report then continued to note that the iPhone 7 Plus will also go through some changes in the battery aspect.
