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Apple stock rebounds after news of possible iPhone X supply cuts

Apple’s stock has rebounded after taking a hit following reports that it was telling parts suppliers to slow down delivery of iPhone X components.

Digitimes reported Monday Apple only wanted 40% of iPhone X parts it originally asked for

Tim Cook, CEO of Apple, speaks about the iPhone X during a launch event in Cupertino, Calif., on Sept. 12. (Stephen Lam/Reuters)

Apple's stock has rebounded after taking a hit following reports that it was telling parts suppliers to slow down delivery of iPhone X components.  

The tech company's stock fell 1.3 per cent in early trading Monday, but has since rebounded by about the same amount on Tuesday following news from Digitimes on Monday that Apple is telling its suppliers it only needs about 40 per cent of the parts and components it had initially asked them for.

Some took the news as a sign of weak demand for the phone, but Digitimes noted in its report that Apple used a similar strategy for the iPhone 7 last year.

Apple's stock has slumped since details of the phone came out on Sept. 12, off by about five per cent.

'Biggest leap forward'

Anticipation for the iPhone X has still been high, even before it was formally announced. The phone has been described by chief executive Tim Cook as "the biggest leap forward" since the first iPhone.

The iPhone X loses the Phone’s iconic home button, which revolutionized smartphones when it launched. (Matthew Braga/CBC News)

The phone loses the iPhone's iconic home button, which revolutionized smartphones when it launched; offers an edge-to-edge screen; and will use facial recognition to unlock the phone. It will start at $1,319 in Canada.

Apple has also recently announced the iPhone 8, iPhone 8 Plus, Apple Watch Series 3 and 4K Apple TV.

The new iPhone 8 and 8 Plus feature modest upgrades to the iPhone line compared with the iPhone X, featuring slight changes to its cameras, displays and speakers.

The iPhone 8 and 8 Plus were released on Sept. 22, while preorders for the iPhone X are expected to begin on Oct. 27.

Apple unveils iPhone X, iPhone 8, and iPhone 8 Plus

7 years ago
Duration 2:44
Today in Cupertino, Cali., Apple unveiled its newest range of devices, including the much-anticipated iPhone X, the new iPhone 8 and 8 Plus, a new 4K Apple TV, and the new Apple Watch Series 3

With files from Reuters and The Associated Press