iPhone 5 Release Date: Disappointment Causes Apple's Stock Value Drop

Apple has introduced its highly anticipated latest iPhone technology, but immediately afterwards suffered a nearly 4 percent decline in stock shares.

Commentators are saying the fall in shares is related to the widespread disappointment over the failed introduction of the iPhone 5. Although many improvements have been made to the mobile device, the iPhone 4S has disappointed many Apple fans who wanted to see the iPhone 5.

“We acknowledge that if the iPhone 5 fails to reveal new features that impress Apple followers as one WSJ article today highlights, this could weigh on the stock as fears of product fatigue take root,” said a stock analyst before the unveiling.

The unveiling event took place Tuesday and was led by Apple’s new CEO, Tim Cook.

“There were high expectations for today’s launch of the latest iPhone, with the new look iPhone 5 being the nomenclature of choice,” said analyst David McQueen of Informa Telecoms & Media on Tuesday. “However, there was a little disappointment in the air as, in actuality, Apple revealed a warmed up version of last year’s iPhone following 15 months without any hardware upgrade.”

Sprint shares also suffered a 10 percent fall to $2.73. The carrier has committed to a $20 billion order of at least 30.5 million iPhones in preparation for the new device’s launch. After Tuesday, Sprint’s stock fell an additional 12 percent to $2.40 by 11 a.m.

“The iPhone 4S looks the same, with similar industrial design, screen size and user interface but just with better innards. Having a faster dual core processor helping improve battery life, 1080p HD video recording, an 8MP camera and the ability to roam between CDMA and GSM networks may float some people’s boat, but that may not be enough to seduce all Apple lovers to upgrade,” added McQueen.

The improved device also permits English, French, and German languages for Siri, the voice-controlled intelligent assistant, only available on the iPhone 4S. It is two times faster than the iPhone 4, and involves faster downloading, at 14.4 Mbps versus 7.2 on the iPhone 4.

While Apple shares are suffering, Google’s shares are on the rise. Tuesday’s reports indicated that Google’s Android operating system is maintaining strongly with consumers.