Global chip shortage can be Issue Apple iPhone Productionm Earlier it was reported that Apple was cutting orders for all of its iPhones by 20 percent when it revised production forecasts made in December. As the report notes, Apple likely avoided component shortages rather than anticipating demand. While Apple may have done enough to avoid serious disruptions to its supply chain, this latest report suggests the repercussions may be completely inevitable.
Apple’s iPhone 12 series has become very popular and these devices are in high demand. This makes Samsung, the Cupertino-based giant, the world’s leading smartphone maker last year. However, the Korean giant again took first place in the world and pushed Apple to second place.
A new report now claims that contract manufacturer Foxconn says device shipments could be reduced by up to 10 percent due to an ongoing global chipset shortage. However, Foxconn chairman Liu Yangwei said the company was “very optimistic” about prospects for the remainder of the year.
For those who don’t know, Foxconn is in charge of assembling iPhone models for Apple. The company did not mention Apple in its statement, but it is the company’s biggest customer. The company said it had “a very limited impact on long-term orders”.
Foxconn predicts the shortage will continue into the second quarter of 2022. Although Apple is better resourced than other companies affected by chip shortages, if chip problems persist, the company could run into problems.
In similar news, Apple supplier Wistron has resumed iPhone production at its facilities in India. The company was suspended by the iPhone maker several months ago after violence swept through its Indian facilities.
