Apple’s market value dropped by $1 trillion and fell under $2 trillion during the first trading session in 2023 for the first time since 2021 in one year. It happened just after the day the company became the first Public Tech Company valued at $3 trillion.
Share of Apple ended on Tuesday somewhere around 4% after a report raised concerns about the consumer demand for its products. Apple had recently notified several suppliers to build fewer parts of its most popular devices, including Airpods, Apple Watch and MacBooks, for the first quarter, according to Nikkei reports.
Apple has grappled with supply chain hiccups and is concerned that the recession fears could weigh on advertisers and consumer spending, including for pricier products like the iPhone.
Apple expected ‘strong demand’ for iPhone 14 Pro and iPhone Pro Max models during Christmas and New Year holidays, but the company saw lower shipments than anticipated due to COVID-related disruptions at a supplier in China.
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While Apple’s market value has fallen considerably, other big tech companies have suffered steeper declines. Shares of Amazon and Facebook are down by 50% and 63%, respectively, in the last year. Apple fell about 31% over the same period when compared.
After losing $1 trillion, Apple still wants to join Amazon in an exclusive club.