Apple's Taiwan-based LCD iMac manufacturer, Quanta, reported reduced sales in July, but predicts better results during the rest of the year.

A DigiTimes report claims Quantra sales fell 12.3 per cent in July – but were still up 3.8 per cent from July 2001. Sales were up 19.4 per cent for the first seven months of this year compared to the same period last year.

Quanta is reported as saying that the decline is consistent with historical patterns, as manufacturers slow shipments in July to introduce new products.

Analysts blame the weak July results on Apple stopping 15-inch iMac shipments to prepare the ground for an updated 17-inch model. They expect sales to improve this month, as the new model ships.