First signs of weakness at Apple

Apple has reported that it sold 47.8 million iPhones in the last quarter of 2012 while sales rose to £34.4bn - but the technology giant failed to meet its financial targets.

Revenue of £34.4bn in the first fiscal quarter of 2013 - the key Christmas shopping period from October 1 to December 31 last year – were slightly less than the £34.7bn forecast on Wall Street.

Earnings remained flat at £8.2bn compared to the year before, marking the first time tech giant had not boasted double-digit increases in earnings for several years.

Some analysts had expected iPhone sales to be around 50 million and revenues to be slightly higher.