02.11.2021 at 08:00 pm
Apple has sharply reduced iPad production to allocate more components for the iPhone 13, in a sign that the global chip supply crisis is hitting the company harder than it previously indicated.
Iyad’s production has fallen by 50 percent from the company’s original plans over the past two months. Parts for old iPhones have also been moved to iPhone 13.
The iPad and iPhone models have a number of common components, including the core and peripheral chips. This allows the company to move supplies between different devices in some cases.
The company is prioritizing the iPhone 13 as it anticipates stronger demand for the smartphone than the iPad as Western markets begin to emerge from the coronavirus pandemic. Europe and the Americas account for 66 percent of the company’s revenue.
New iPhone sales also peak within months of release. As a result, ensuring the smooth production of the iPhone 13 is a top priority for the company at the moment.
However, demand for the iPad has also been strong thanks to the advent of remote work and learning amid the pandemic. Global iPad shipments rose 6.7 percent annually to 53.2 million devices last year.
With this, Apple secured a global market share of 32.5 percent, far ahead of Samsung’s share of 19.1 percent.
iPad shipments totaled 40.3 million in the first nine months of this year, up 17.83% from the same period last year.
Apple cuts production due to lack of chips:
It is noteworthy that this is not the first time that Apple has prioritized iPhones over iPads. In 2020, the company reallocated some iPad parts to the iPhone 12, its first 5G phones, to protect its most popular product from supply chain restrictions during the pandemic.
This time, shoppers face long wait times for the new iPads. Those who ordered a 256GB iPad at the end of October will have to wait until December 15 for delivery in the Americas or Europe.
And for those who order the latest iPad mini, delivery is around the first week of December. Consumers in China, the company’s third largest market, also have to wait up to six weeks to get a new iPad.
CEO of OTTO Magazine