It is said that at a time when Apple suppliers are usually starting to increase production to meet holiday demand, most of them have reduced or stopped production. Apparently, the employees who often worked overtime are now on leave.
Apple Insider has released a new report citing data from the Nikkei Asia, which shows how logistics problems in the supply chain and power constraints in China have forced Foxconn, Pagatron and other Apple suppliers to cut production. One supply chain manager says:
Given the limited parts and chips, overtime on vacation and paying extra wages did not make sense to the workers. This has never happened before. China’s Golden Holiday has always been the busiest time for all assemblers to get ready for production.
The report says that the problems caused by the Corona virus epidemic are only part of the story, and that many of these problems date back to the Apple-China trade war during Trump’s presidency. It seems that Apple has made every effort to reduce the problems and the company has reduced the important resources of iPhone 12, iPhone SE and iPad by up to 50% and has allocated joint production parts to the iPhone 13 family in order to increase the volume of orders for the range. Meet the holidays.
Of course, it is still estimated that the production of the iPhone 13 is about 20% away from Apple’s goal. The iPad, on the other hand, meets only half of Apple’s production targets. Sources point out that production of older iPhones has dropped by as much as 25 percent. The Cupertinoites first warned earlier this year that the shortage could affect production of iPads and Macs; But it was not long before it was said that Apple phones were also affected. According to Tim Cook, supply problems cost the company about $ 6 billion in the last quarter.
Apple is projected to sell a maximum of 90 million iPhone 13s by the end of 2021; But recent reports suggest that potential hurdles could affect 5 to 10 million of the 143 million iPhones scheduled for the second half of 2021. Of course, even if the figure of 10 million units is correct, Apple will experience annual sales growth.
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