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Home Sectors Tech News

Apple likely to cut iPhone 13 production due to chip shortage

Janet John by Janet John
October 13, 2021
in Tech News
Apple likely to cut iPhone 13 production due to chip shortage
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Apple is expected to reduce its anticipated iPhone 13 production targets for 2021 by up to 10 million units due to ongoing chip shortages, according to Bloomberg.

The company was expected to produce 90 million units of the new iPhone models by the end of this year.

Because chip suppliers like Broadcom Inc and Texas Instruments are having trouble delivering components, Apple informed its manufacturers that the number of units will be reduced.

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Apple is one of the world’s largest chip buyers but even with strong buying power, the company is grappling with the same supply disruptions that have wreaked havoc on industries around the world.

The chip shortage has put enormous strain on sectors ranging from automobiles to electronics, forcing several manufacturers to halt production temporarily.

Apple’s stock dropped 1.2 percent in after-hours trade, while Texas Instruments and Broadcom also declined by roughly 1%.

Texas Instruments provides Apple with display components, while Broadcom has long been the company’s wireless component provider.

Apple’s capacity to supply new models to consumers has already been hampered by the shortages. The iPhone 13 Pro and iPhone 13 Pro Max were released in September, but orders placed on Apple’s website will take roughly a month to arrive.

The new devices are also “currently unavailable” for pick-up at a number of the company’s retail locations. Shipment delays are also being experienced by Apple’s carrier partners.

Current orders are expected to arrive in mid-November, so Apple may still be able to deliver the new iPhones in time for the holiday season.

Tags: AppleiPhone 13
Janet John

Janet John

Janet John is a graduate of Chemical Engineering from the University of Uyo. She specializes in technical writing where she creates easy to read documentation, articles to clearly and efficiently explain highly complex processes. When she is not writing, she works as a freelance front-end developer

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Comments 2

  1. Usman Modu Kinnami says:
    October 14, 2021 at 5:46 am

    191151

    Reply
  2. CHIBUIKE OKOLI says:
    December 2, 2021 at 7:02 am

    Nawa O…

    That’s serious.

    Reply

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