Weaker iPhone 5 Demand?

Remember when everyone could get a new iPhone on release day regardless of when their contract was set? I do … That’s changed and now we are all back to the standard mobile upgrade cycle. Price matters.

Apple’s orders for iPhone 5 screens for the January-March quarter, for example, have dropped to roughly half of what the company had previously planned to order, two of the people said.

The Cupertino, Calif., company has also cut orders for components other than screens, according to one of the people.

Apple notified the suppliers of the order cut last month, the people said.

The move indicates that sales of the new iPhone haven’t been as strong as previously anticipated and demand may be waning. It comes as the company has been facing greater challenges from Samsung Electronics Co. 005930.SE +1.24% and other makers of smartphones powered by Google Inc.’s GOOG -0.20% Android operating system.

via WSJ.com.

Steven Sinofsky on CES

Steven Sinofsky has a very solid recap of his experience at CES this year. He notes key trends and observations which are all well considered, but I particularly enjoyed this bit …

Expecting a company to unveil something at the show is somewhat misplaced. On the other hand, a big part of CES, at least for me, is really being able to see any (large) company’s full product line “end to end” and to see how they are fitting pieces together to deliver on scenarios, value, or competition. Smaller companies have an opportunity to show off their products in a much more interactive fashion, often with very knowledgeable members of the team showing things off. Most importantly, CES lets you see “side by side” whole categories of products—you see the positioning, the details, and how companies present their products.

Unveiling a new product or technology that is a cross-industry effort, one involving many partners, does work particularly well at CES. Intel’s efforts around Ultrabooks, in 2012 and 2013, demonstrate this. While Intel’s booth and large scale presentations show off Windows 8 and Ultrabooks, the amplification that comes when seen on display at Sony, Samsung, LG, Toshiba, and more is where the sum of the whole is greater than the parts.

via Learning by Sharing.