"Consumers are beginning to tap into the idea of Internet access on-the-go and richer media features that are becoming more difficult to navigate on a small screen," Rubin said.
Thurgy: Consumers are beginning to "tap out", UFC style. How long will those $80 service plans fly to text MY BFF ROSE?
Apple posted a 26 percent rise in fourth-quarter profit last month as sales of 6.89 million iPhones beat analysts' estimates. The iPhone accounted for 39 percent of total sales of $11.7 billion, when setting aside an accounting standard in which revenue from the iPhone and the Apple TV set-top box is spread out over two years.
Thurgy: Well, at least we know just how much their revenue will be impacted now. But this has long been discounted for in the share price, well some of it anyway. Look for a potential bear flag forming on the daily.
Just days after Friedman Billings Ramsey analyst Craig Berger claimed Apple’s fiscal first-quarter iPhone production would be more than 40 percent lower than production in its third, Maynard Um, an analyst for UBS Investment Research, said recent supply chain “chatter” around iPhone component orders indicates that production levels for the device may have declined by as much as 2.3 million units. “Our checks indicate various iPhone supply chain cuts by 1.7 million units to 2.3 million,” Um wrote, adding that if that’s the case, Apple (AAPL) will likely ship between four million and five million iPhones in the fourth quarter–down roughly two million units from the preceding quarter.
Thurgy: Ok, so production cuts of around 10% are normal after holiday seasons. 40% is NOT normal. This production cut has not been confirmed but would not suprise me in the least if it turns out to be the case. After all, Best Buy cuts outlook amid 'seismic' consumer-spending dropoff
