Apple shares dip below $500 on demand concerns for iPhone

SHARES in Apple fell to below $500 for the first time in almost a year yesterday, on reports that the company had cut orders for iPhone parts following weak demand.

The world’s highest-valued company fell almost four per cent in New York, wiping over $18bn (£11.1bn) off its value, with investors fearing Apple’s most profitable product was not selling as well as expected.

The fall came as Apple’s Korean rival Samsung announced it had sold 40m of its top of the range Galaxy S III smartphone, and 100m of the Galaxy S series since the first model was launched in June 2010. In comparison, Apple is estimated to have sold around 300m iPhones since 2007.

In contrast to Apple’s fall, shares in BlackBerry maker Research in Motion rose more than 10 per cent to their highest point since February.