FILE PHOTO: On June 24, 2021, you can view your iPhone 12 phone at Broadway’s new Apple Store in Los Angeles, California, USA. Reuters / lucinikolson / FILE PHOTO
12 October 2021
(Reuters) – Apple Inc. is likely to cut production of the iPhone 13 by up to 10 million people due to global chip shortages, Bloomberg News reported on Tuesday.
According to Bloomberg, the company expected to produce 90 million new iPhone models by the end of this year. The report https://bit.ly/3iUWcQ3 states that Apple told manufacturers that chip suppliers such as Broadcom Inc and Texas Instruments are struggling to deliver components, resulting in fewer units.
Apple’s share of overtime trading fell 1.2%, while Texas Instruments and Broadcom both fell about 1%.
Apple declined to comment. Broadcom and Texas Instruments did not immediately respond to Reuters’ request for comment.
In July, Apple predicted a slowdown in revenue growth and said a shortage of chips, which began to hurt its ability to sell Macs and iPads, would also impact iPhone production. Texas Instruments also softened its earnings outlook for the month, suggesting concerns about chip supplies remaining this year.
The chip crunch has put immense pressure on industries ranging from automobiles to electronics, and many automakers have temporarily halted production.
With huge purchasing power and long-term supply contracts with chip vendors, Apple has survived the supply crisis more than many other companies. Some analysts predict that the iPhone 13 model released in September will sell well as consumers look to upgrade. A device for 5G networks.
But iPhone makers are not untouched by global trends, Counterpoint Research said in a note last month. Apple is in a better position than some rivals, but said it would still be affected, reducing its global smartphone shipment forecast from 1.45 billion to 1.41 billion.
(Reporting by Chavi Mehta in Bengaluru and Stephen Nellis in San Francisco, edited by Maju Samuel and Bill Berkrot)
Apple may cut production of iPhone 13 due to chip shortage – Bloomberg News
Source link Apple likely to cut production of iPhone 13 due to chip shortage – Bloomberg News