Apple (AAPL.US) orders may be declining? Skyworks (SWKS.US) has fallen by more than 23%.

On Thursday, Skyworks (SWKS.US) shares fell sharply, down over 23% at the time of writing to $66.54. The news comes as Skyworks' management revealed during its latest earnings call that the company has worked with its largest customer for 18 years. While the company did not directly name the customer, industry insiders widely believe it refers to Apple (AAPL.US). However, Skyworks said its wireless RF components' "content" would decline in the upcoming generation of smartphones.

The change is expected to start affecting the company's revenue from the September 2024 quarter and run through the entire 2025 fiscal year. Skyworks CFO Kris Sennesael said the company failed to meet its expectations in this smartphone cycle but has already started developing new solutions for the next cycle.

Christopher Rolland, an analyst at Susquehanna, described Skyworks' loss of Apple's order as a "nightmare come true." Nick Doyle, an analyst at Needham, estimated that Apple contributed about 65% to 70% of Skyworks' revenue. According to Skyworks' latest 10-K filing, Apple is the only customer disclosed by the company whose annual revenue accounted for more than 10%. Skyworks expects its content to decrease by 20% to 25% in the upcoming iPhone.