Apple’s shares fall after launching of new phones

Apple's shares fell more than 5% as investors worried that the firm's latest iPhone models may not help it increase its share in emerging markets.

Apple launched two models on Tuesday, the iPhone 5S and a cheaper iPhone 5C.

But the basic 5C model, with 16 gigabytes of storage, has been priced at €550, which analysts said was still expensive for emerging markets.

Apple has found it tough to boost its share those markets against competition from firms such as Samsung and Huawei.

It seems investors were put off that Apple's price point didn't go low enough to attract a new market.

Apple shares closed at €350 on Wednesday, down by 5.4%.

In the past years, Apple has enjoyed tremendous success in developed markets with its iPhone models. However, it has not been able to repeat that in emerging economies such as China and India, not least because its products are relatively more expensive.

One of the key reasons has been that unlike the developed markets, many mobile carriers do not subsidise phones in these countries.

That makes low-cost phones a much more affordable option for consumers. Many had hoped that Apple would launch a low-end phone to try to lure those buyers.