Apple forced to stop making iPhone for the first time in ten years
Apple forced to stop making iPhone for the first time in ten years

According to the Nikkei Asian Review, Apple, which was supposed to run at full speed, had to stop producing iPhones and iPads for a few days.

While the company has enormous purchasing power, it is clearly not immune to bottlenecks in the global supply chain.

The tech giant had previously lowered its production target for this year's iPhone 13. It also had to reduce iPad production in order to use more parts for its flagship mobile device.

But for the first time in ten years, the company has to close its factories during China's Golden Week.

Apple factories usually ramp up production during the Chinese holidays in early October. It's open 24 hours a day so you can keep track of your Christmas shopping.

But he is said to be giving his employees time off this year. The supply chain manager told the newspaper that there was no point in paying overtime for holiday work when the number of ingredients and chips was so limited.

As a result, people considering a new iPad or iPhone as a gift during the holiday season may not receive the device on time.

The document states that supply chain problems arose before the pandemic. At the time, Chinese companies blacklisted by the United States added shares to bypass the ban.

However, the coronavirus lockdowns implemented in Malaysia and Vietnam due to the delta variant severely affected the production of many electronic components and chips.

Apple factories usually increase production during Chinese holidays

In many cases, the cause of throttling is not a lack of more expensive components in the equipment. But because the peripheral accessories are cheaper.

When it comes to raw materials, component manufacturers with low purchasing power come last.

Take the iPhone 13 Pro Max as an example, and the reason for the delay is due to small peripherals that cost only a few cents.

Apple CEO Tim Cook previously said the company lost $6 billion in the September quarter. This is due to supply chain constraints. It is also believed that it may lose more in the last quarter of this year.

It remains to be seen whether the company will continue to benefit from the same demand once it has the components needed to manufacture the devices.

In addition, the Nikkei Asian Review reported that the company told its suppliers that iPhone 13 demand continues and component production rebounded in November, December and January.

According to an earlier Bloomberg report, the company warned sellers that demand for the largest source of income had fallen before the holidays.

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