The global chip shortage which has been making rounds for as long as anyone can remember has become a major issue for everything related to technology. While the shortage had been causing a massive disruption for automakers, it is now also making a huge dent in the businesses of consumer electronics makers as well.
And so, as the global chip shortage is indeed hitting the smartphone industry, tech giant Apple has claimed that it could also indeed end up effecting the production for its iPhones while the brand has also forecasted slowing revenue growth. This will also therefore impact the tech giant’s services business.
An executive belonging to Apple has gone on to claim that revenue for the current fiscal fourth quarter will end up growing by double digits but below the 36.4% growth rate in the just-ended third quarter. They then proceeded on to add that while the impact was in fact less severe than feared in the third quarter of the year, it will end up worsening in the fourth – extending to iPhone production.
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Tim cook, who of course is the CEO of Apple, has said that the chips affected by these shortages happen to be made via the aid of older technology but are still very vital as supporting parts for the making of iPhones. Analysts actually believed that Apple could end up stockpiling chips for the sake of its next-generation iPhone models – whether this will be the case remains to be seen though.
Of course there are various reasons as to why we’re seeing a global chip shortage – and these include the likes of factory closures as a result of the Covd-19 pandemic and also of course the increased demand that has been created for electronic products courtesy of the lockdown and home based setups.