Apple losses More than USD 100 Billion in Market Value due to Barclays Predicion of Lacklustre iPhone Performance

The share price of American devices maker Apple has fallen the most in four months. The reason for this is banking services company Barclays' forecast of weak demand for the upcoming iPhone 16 and Mac computers. Barclays has also reduced the price target of Apple's shares.

Reuters report states that Barclays has downgraded Apple's shares from 'neutral' to 'underweight'. After this there was a big fall in the share price of the company. Its shares closed at a seven-month low of $185.64. The company's market capitalization has decreased by more than $100 billion. Barclays analyst Tim Long said that demand for the company's new iPhones may remain weak. Apart from this, it is facing challenges in markets like China. The government is increasing strictness on American companies in China. Apart from this, Apple is facing tough competition from brands like Huawei.

“iPhone 15 has underperformed and we believe the same will happen with iPhone 16,” Tim said in a client note. Many agencies and government-funded companies in China have asked their staff not to bring iPhones and other foreign devices to the workplace. China is a big market for Apple and is also the hub of manufacturing of iPhones. For more than a decade, China has been trying to reduce its dependence on foreign technologies. Chinese government-linked companies have been asked to use local software and promote semiconductor manufacturing.

Apple's mixed reality headset Vision Pro may soon be available for sale. Last year the company had introduced it in its Worldwide Developer Conference. However, since then the company has not given information about its launch. Recently, a report said that Apple has started manufacturing the Vision Pro headset in China and it can be shipped by February. Regarding this, analyst Ming-Chi Kuo had also said in a research note that this mixed reality headset will be available for sale by February. Kuo believes that this will be Apple's most important product this year. The company plans to sell it in large numbers.

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