AlleyInsider reports that Berger's "recent checks" suggest Apple's iPhone production could fall "more than 40%" from its Q3 levels. This does not necessarily mean a decrease in iPhone demand, rather it could just be due to a production surplus.
Berger notes that the iPhone cuts are "a negative global demand" signal:
That the firm's iPhone production plans are being revised lower suggests that the global macroecomomic weakness is impacting even high-end consumers, those that are more likely to buy Apple's expensive gadgets, and that no market segment will be spared in this global downturn. This is a negative signal for global demand, in our view.