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Apple's Tim Cook Blames iPhone 5 Supply, Not Demand

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    NEWSLETTERS

    AP
    A customer tries on her new iPhone 5 at the Apple store in Hong Kong Friday, Sept. 21, 2012. Supply has been strained for the phone -- something Apple's CEO points to as the real issue.

    Apple chief Tim Cook decided to apologize for the lack of iPhone 5 supply on Wednesday, leading some to believe it's supply that slowing for the new iPhone, not demand.

    The tactic seems to be working, and analysts who downgraded Apple for not selling 10 million units over the weekend are re-evaluating their projections, according to Business Insider. From the Apple announcement:

    "While we have sold out of our initial supply, stores continue to receive iPhone 5 shipments regularly and customers can continue to order online and receive an estimated delivery date. We appreciate everyone’s patience and are working hard to build enough iPhone 5s for everyone."

    See everyone, it's not that 10 million people don't want an iPhone 5, it's that there aren't enough to go around!  

    Regardless, Apple share prices dropped quickly on Wednesday, but now prices are about the same as they were before the launch of the iPhone 5, NASDAQ reported. Market volatility following a product release for Apple is normal and long-term investors are unlikely to be affected.