Demand waning? Apple cuts iPhone inventory 20 percent
Apple had planned to build 18 million iPhones in 2008. Pacific Crest Securities, an analyst which closely watches Apple's supply chain, says Apple has cut that number to between 14 million and 15 million. BlackBerry maker RIM announced lower-than-expected quarterly sales last week, so perhaps Apple is seeing a similar softening in demand. Another possibility: Apple plans to quit selling its iPhone with 8GB of storage and sell its 16GB model for $199 instead. The news is not helping Apple shares, which are already down 13 percent on analysts' predictions that strapped consumers will buy fewer Macs.