Is Apple Shifting New iMac Production to the United States?

By
A A A

Editor's Note: This content was originally published on Benzinga.com by Louis Bedigian, Benzinga Staff Writer.

Apple ( AAPL ) has reportedly stopped placing orders for new Mac-related components, leaving suppliers stranded with remaining inventories.

According to DigiTimes , suppliers had expected to finish "digesting their Mac inventories" in April. That plan came to a screeching halt the moment Apple walked away.

To make matters worse, suppliers informed DigiTimes that they have yet to receive any details about when Apple may resume taking orders for the new Mac.

This is an unusual move for Apple, which has reportedly provided its suppliers with a 12-week shipping forecast. Without any schedule, suppliers fear that they may not receive any additional orders until the end of May.

"The sources revealed that Apple's Mac orders to the supply chain dropped to almost nothing after the Lunar New Year holidays," DigiTimes' Aaron Lee and Joseph Tsai wrote. "Apple had high hopes for its Mac product lines and placed aggressive orders at the end of 2012; however, the company is now badly affected by the decision."

DigiTimes speculated that Apple may have underestimated the "weak status" of the PC industry, which has been overwhelmed with declines . Apple's non-PC products -- primarily iPads and iPhones -- have contributed to the erosion of PC sales.

Thus, it sounds like the new iMac might be doing poorly at retail. At the very least, Apple might be selling fewer units than it had anticipated.

This is not the first sign of trouble for the new Mac. After three years of increases, collective Mac sales declined more than 20 percent during the fiscal 2013 first quarter (ended December 29, 2012).

Apple does not specifically detail how many individual units are sold each quarter, so it is impossible to say if the new iMac is responsible for the sales decline.

The Mac Mini or MacBook Pro with Retina Display could also be responsible . Sales of older MacBook Pro models -- which are slowly disappearing from retail -- may have also added to the decline.

There are other possibilities, however. Apple may have stopped ordering new components because it has decided to switch suppliers. Alternatively, the company may have decided to overhaul the iMac and release an updated version this spring.

Better still, Apple may have stopped ordering components because it is making good on its promise to produce Macs in America. Some iMacs are already being assembled in the United States, but perhaps Apple is taking another major step in its effort to bring production back home.


Below, find some more great ETF and market content from Benzinga:

Nokia Lumia Sales Rise 27% as Company Preps New Phablet

General Motors vs. Toyota: Truck Wars

Philip Morris Chokes on Unhealthy Earnings and Foul Guidance

Twitter: @Benzinga

Benzinga Pro covers this and all market news in real time. Get your free trial here .



The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of The NASDAQ OMX Group, Inc.



This article appears in: Investing , Technology

Referenced Stocks: AAPL

Minyanville

Minyanville

More from Minyanville:

Related Videos

Stocks

Referenced

Most Active by Volume

57,500,773
  • $10.50 ▼ 3.14%
50,271,771
  • $17.18 ▲ 0.35%
45,695,436
  • $118.625 ▲ 1.85%
36,407,930
  • $34.70 ▼ 1.64%
33,917,140
  • $47.59 ▼ 0.81%
32,961,221
  • $36.25 ▲ 1.85%
32,213,015
  • $15.67 ▲ 1.56%
29,124,034
  • $30.22 ▼ 0.76%
As of 11/24/2014, 04:15 PM

Find a Credit Card

Select a credit card product by:
Select an offer:
Search
Data Provided by BankRate.com