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Apple shares under pressure on a report that it's halving its iPhone X production

  • Apple told suppliers it would cut its production target for the phone from 40 million units to 20 million, the Nikkei reported Monday.
  • Shares of Apple were down by around half a percent in U.S. premarket trade.
An attendee uses a new iPhone X during a presentation for the media in Beijing, China October 31, 2017.
Thomas Peter | Reuters
An attendee uses a new iPhone X during a presentation for the media in Beijing, China October 31, 2017.

Apple's stock dipped slightly in premarket trading Monday after a report said it would halve production for the iPhone X in the first three months of 2018.

The tech giant told suppliers it would cut its production target for the phone from 40 million units to 20 million, following slower-than-expected sales in the year-end holiday shopping period in Europe, the U.S. and China, the Nikkei reported Monday.

The company's latest phone was released to the market in November for $999, and includes 64 gigabytes of storage. A model with 256 GB of storage was released simultaneously for $1,150.

It is the firm's first phone to be equipped with an organic light-emitting diode (OLED) screen.

Apple is expected to maintain a total production target of 30 million units for lower-priced models like the iPhone 8, iPhone 8 Plus and iPhone 7, according to the Nikkei report.

Shares of Apple were down by around half a percent in U.S. premarket trade. Apple was not immediately available for comment when contacted by CNBC.

The share price of a number of semiconductors who supply technology to the corporation appeared to mostly shrug off the news, with Austria-based AMS trading more than 17 percent higher after raising its revenue forecast and U.K.-based Dialog Semiconductor rising more than 2 percent.