Apple flash orders, spending up
April 7th 2008
In the world according to iSuppli (News.com), Apple is cutting its planned flash-memory orders this year even though it will spend $200 million more than last year.
Of course, this "cut" is based on numbers generated inside iSuppli itself. That is, back in February the researcher projected Apple would spend $1.6 billion and now after further reflection the company now predicts that the iPhone maker will spend only $1.4 billion.
Further, iSuppli has said that flash memory prices have fallen 36% (Evertiq) in the first quarter of this year alone.
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Lastly, iSuppli says that Apple did spend $1.2 billion on flash memory in 2007.
So, how does an anticipated 12% increase ($200 million) year-over-year in the face of collapsing prices translate into a decrease of $200 million? Well, it doesn't.
The correct conclusion would seem to be that Apple's going to buy quite a bit more flash memory--actual, deliverable units of storage--this year than last...
What's your take?
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