Investors are cheering the news that Apple Inc. is increasing the output for its next lineup of iPhones. While it may seem like a positive signal for future demand, reality is a bit more complicated.
Bloomberg News reported late Tuesday that Apple has told its suppliers to make as many as 90 million next-generation iPhones for its initial run, a figure that would be an increase of up to 20% over the prior year. According to the report, the Cupertino, California-based company is expected to introduce four models in September with designs similar to 2020’s phones and incremental feature upgrades — including a faster processor, better camera and improved displays. Apple shares rallied 2% in early trading Wednesday after the report.