A new report on Apple’s recent supply chain woes suggests that iPhone production stopped altogether for the first time in more than a decade.
It’s been widely reported that Apple has been experiencing some troubles with iPhone production, and even iPhone demand of late. But a new and comprehensive report from Nikkei provides a new angle on just how bad things got.
According to the report, iPhone production stopped altogether for several days at the beginning of October. This was during China’s so-called Golden Week holidays, which is when Apple’s supply chain factories typically ramp up to 24-hours-a-day production.
With component shortages and power cuts taking their toll, Apple’s manufacturing partners opted to shut down their production lines and gave staff time off rather than offering the usual overtime. This represents the first time such a thing had happened in more than ten years of iPhone production.
It’s claimed that Apple is falling millions of units short of its iPhone and iPad production goals this festive period. Production of the iPhone 13 range – Apple’s biggest seller – is said to have fallen 20% short of previous plans in September and October.
This is despite the fact that Apple has prioritised its flagship phone range, reallocating core components and resources from its iPad line. The knock-on effect of this was that iPad production volume was halved over the same period.
Due to these shortfalls, many shoppers won’t get their Apple devices until after the Christmas period. It’s claimed that this could cost Apple billions of dollars in revenue.