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Apple to Cut iPhone Production Goals by as Many as 10 Million Units Due to Chip Shortages

We need to reign in free trade for national security reasons. We need to agree on a percentage of manufacturing capacity for all components of a device for it to be sold here in the USA. If World War 3 broke out with China we’d be beaten handily. We can’t manufacture our weapons without them. That’s should scare everybody.
 
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Apples not saying anything yet
If there’s an announcement it will most likely be at the conference call on the 28th
Tim Cook is a master at operations and with Apples buying power let’s see what happens
 
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tongxinshe said:
When it’s said by companies selling products of good value-for-the-buck, it should normally be trusted. But, when it's said from those selling overpriced, expensive merchandises like iPhones or Mercedes, BMW, LV, they can only be excuses.

One golden rule: Nothing from a greedy business could ever be trusted!
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Or it’s true?

As for the golden rule, all businesses are greedy. They would be a pretty crappy business otherwise.
 
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I think it is surprising that it isn’t any worse (but maybe that is still yet to come).
 
bushman4 said:
Apples not saying anything yet
If there’s an announcement it will most likely be at the conference call on the 28th
Tim Cook is a master at operations and with Apples buying power let’s see what happens
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It is reasonable to assume apple is dealing with chip shortages since every other business is also dealing with them.
 
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Well it is what it is. That's why a year after launch there is not enough supplier of PS5 and Xbox Series X, Car components are scarce and industry wide there is shortage. Apple is not immune to all of this.

Glad I was able to get my PS5, Xbox Series X and now iPhone 13 Pro Max on launch day or close to launch day for my country!
 
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LarrySW said:
I am amazed with the amount of conspiracy theorists on this site, every thing is a conspiracy or cover-up here.
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And the real knee-slapper is Apple will enjoy another record quarter of sales and revenue.

Yay! Slow iPhone sales for the win!
 
I wonder if this means next week’s event is just an announcement without a solid release date. I could really see Apple announcing laptops that may not ship until January.
 
orev said:
I'm sure the suppliers are getting a lot of pressure from Apple to resolve this. I hope that doesn't result in issues with quality as they try to speed things up by removing quality checks.
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I have read that due to pandemic that they can’t really supervise as much as before.

cant remember where I read them but I got to say I do feel iPhone 12&13 plus the iOS. I feel the quality isn’t how it’s used to be Maybe it’s just me. But I feel my iPhone 11 Pro Max ,beside obvious some short coming to the newer model but the overall build and experience it does seem to be not as good
 
Who says they are “expected” to cut? I think this is being said because other companies have been affected, and the stock is being manipulated.

The fact is that the other companies aren’t Apple, and their CEO is a master with supply chain logistics. I’m not saying they aren’t affected, but the I don’t think it is as bad as this report says.
 
I’m gonna skip this iPhone update so someone else can have the phone I was gonna get 😉. You’re welcome 😂
 
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crawfish963 said:
You joke but I could see Apple starting to invest in home-grown parts going forward.
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I heard that is no easy solution either. The homegrown factory will still require chips in its production machines, in tier 2 suppliers and all the way down..
 
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_Spinn_ said:
That's not good. Though given the supply chain issues everywhere not really a surprise.
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Yes, one might think so - but did Apple manage to plan ahead unlike all the other companies? I think so :)

10 million units - I mean I TLDR the article - I'll have a look now and see - I am just purely guessing that this article is BS with a cherry on top. I could be wrong too.

I mean - I was stoked that Apple got an extra 10 or more days of revenue ($1B/day from shipping the iPhone in September, as compared to last year's iPhone partial release dates. This means AAPL stock will have an extra $10B for the quarter ending Sept 30. Yet here we have some iPhone Fixit Repair shop saying something? :). Let's see what it really is.

I think Apple ordered "chips" way ahead of anyone else. Proof to me is the TSM allocation of 5nm and future 3nm. Everything else I think Apple would have also ordered unlike other less well-managed companies. Apple is different, and I'd be surprised if they are affected by the chip shortage.

I mean Peugeot? Yah - microchip shortage for Peugeot car company in France because they were clueless.

Apple? No.
 
jz0309 said:
from Jul 28 earnings call, transcript link below


Krish Sankar -- Cowen and Company -- Analyst

Got it. Got it. And then just a follow-up for Tim or Luca. I think, Tim, you mentioned in your prepared comments that in September quarter, there's going to be greater impact on supply constraints on the iPhone and iPad.

So I'm kind of curious, this is the first time I heard you talk about component shortages impacting the iPhone. Can you be more specific? Is it display drivers? Or what exactly is the chokepoint on the supply?

Tim Cook -- Chief Executive Officer

The majority of constraints we're seeing are of the variety that I think others are seeing that are -- I would classify as industry shortage. We do have some shortages. In addition to that, where the demand has been so great and so beyond our own expectation that it's difficult to get the entire set of parts within the lead times that we try to get those. And so it's a little bit of that as well.

As I said before, I think probably maybe with the basis of your question, the sort of the latest nodes, which we use in several of our products have not been as much of an issue. The legacy nodes are where the supply constraints have been on silicon.

www.fool.com

Apple (AAPL) Q3 2021 Earnings Call Transcript | The Motley Fool

AAPL earnings call for the period ending June 30, 2021.
www.fool.com www.fool.com
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From the horses mouth July 28th is better than what the fixit shop guy says. I better go read the dang article.
 
FWRN said:
Is it chip shortages or because the demand isn't as high as they want.
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For sure - what does it take to cause someone who really doesn't know or follow Apple so closely to sell shares?.

Just the thought can cause such a blip, and that's why the article has been written and released. Forget about the new MacBook Pro event next week - focus instead on the idea of Apple cutting production for a reason such as "no demand".

Every year it's the same thing - usually coming from Japan Nikkei is it? - and they are wrong every time.

Buy the dips on AAPL
 
DekuBleep said:
When are these chip shortages gonna get better?
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From what I see in print, multiple news stories on all channels... these production issues in China - which started months ago, plus cargo ships parked off LA, Newark, NJ ports for weeks. Workers - truck driver shortages. All of this mess may not get better until Q1 2022 at the earliest.

Not trying to be a downer...I HOPE that is not the case.

Hell, right now I'm more concerned about food shortage, (I literally have to travel to multiple stores to get food shopping fully complete)...gas prices. etc. Fun times. 😒

Eh, I miss being a kid with no cares about this stuff.
 
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