Monday, November 17, 2008

Apple trimming notebook orders; plans fixes for new models

By Sam Oliver

Apple has decided to cut back on its notebook production for the current holiday quarter, according to one report. Meanwhile, the company is said to be working on a software fix for at least one issue surrounding its latest offerings.

MacBook production cut

The Chinese-language Commercial Times said Monday that both Apple and Asustek have recently reduced orders for notebooks that will be manufactured this quarter by 20 to 30 percent.

Quanta, which shares MacBook assembly duties with Foxconn, will absorb the impact of the cuts, according to the paper, which did not provide figures on how many units the company had initially ordered.

Also unclear is whether Apple is seeing reduced demand across the board, or if the cuts pertain to a specific model. It was reported last month that Quanta and Foxconn were splitting orders for some 300,000-400,000 previous-genration white 13-inch MacBooks, which the Mac maker now sells for $999.

It's possible Apple may be seeing lower than expected demand for those older systems as users gravitate towards the more premium offerings of the new unibody models, which fetch $300 more.

The Cupertino-based company admitted to seeing a drop-off in notebook demand in the weeks leading up to last month's introductions but said sales took off once the new MacBook lines were introduced.

"As you know, there were rampant rumors and lots of press reports about a potential portable transition and we saw some slowing toward particularly the final weeks of September and the initial weeks of October," chief operating office Tim Cook said during a conference call. "However, once announcing last week, we saw a considerable rebound in sales and we’re very, very optimistic about those results." Continued...

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