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Apple is understood to have slowed down production of its iPhone 4 and manufacturers in Taiwan are getting ready for production to occur in August with a September launch now likely.



From SiliconRepublic:
With the iPhone 4S likely to launch in September, Apple has reduced the shipment volumes expected for the second quarter of 2011 from 20m units to less than 18m units.

These consist 16 million units of the 3G version and 1.5-2 million units of the CDMA version, according to Taiwan-based supply chain makers.

Bases on global sales of 18.6 million units of iPhone 4 and shipment volumes in the first quarter of 2011, there are an estimated 1.5-2 million units in stock, the sources indicated.
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