 "iPhone 13")
Apple is likely to slash its projected iPhone 13 production targets for 2021 by as many as 10 million units as prolonged chip shortages hit its flagship product, according to people with knowledge of the matter.
The company had expected to produce 90 million new iPhone models in the last three months of the year, but it’s now telling manufacturing partners that the total will be lower because Broadcom and Texas Instruments are struggling to deliver enough components, said the people, who asked not to be identified because the situation is private.
The technology giant is one of the world’s largest chip buyers and sets the annual rhythm for the electronics supply chain. But even with strong buying power, Apple is grappling with the same supply disruptions that have wreaked havoc on industries around the world. Major chipmakers have warned that demand will continue to outpace supply throughout next year and potentially beyond.
Apple gets display parts from Texas Instruments, while Broadcom is its longtime supplier of wireless components. One TI chip in short supply for the latest iPhones is related to powering the OLED display. Apple also is facing component shortages from other suppliers.
Apple and TI representatives declined to comment. Broadcom didn’t respond to a request for comment.
Also Read
Apple shares slipped as much as 1.6 per cent to $139.27 in late trading after Bloomberg reported on the news. The stock was up 6.6 per cent this year through Tuesday’s close. Broadcom and TI also dipped in after-hours trading.
The shortages have already weighed on Apple’s ability to ship new models to customers. The iPhone 13 Pro and iPhone 13 Pro Max went on sale in September, but orders won’t be delivered from Apple’s website for about a month.
Firm warns of cybercrime risks if EU forces it to allow others’ software
Apple on Wednesday ramped up its criticism of EU draft rules that would force it to allow users to install software from outside its App Store, citing the risks posed by cybercriminals and malware.
The iPhone maker has been a fierce critic of EU antitrust chief Margrethe Vestager’s proposed rules, which were announced last year in a bid to rein in Apple, Amazon, Facebook and Alphabet unit Google.
(Only the headline and picture of this report may have been reworked by the Business Standard staff; the rest of the content is auto-generated from a syndicated feed.)
