Not escaping the supply chain crisis, even Apple is facing a “chip shortage”

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QQ market cap ZG Apple Z has not escaped the supply chain crisis, joining a growing number of large companies from Toyota to Samsung that have been forced to scale back their operations due to QQ semiconductor shortages. z Recently there have been media reports that Apple may cut its expected production target for the 2021 iPhone 13 by more than 10 million units.

While supply shortages have shaken up electronics, auto manufacturing and a growing number of industries for months, Apple has been able to get enough chips to continue selling its Z new line of products because its supply chain is well managed and holds to extremely strict standards. But Apple’s Z recent setbacks mean that there is growing hope that the supply chain crisis is easing.


Neil Kempin, an analyst at Mirabaud Securities, a wealth management firm, said the company’s supply chain crisis is getting worse. If a supply shortage happens to a powerful company, it can happen to anyone,” said Neil Campling. These companies have a strong capacity as key customers to purchase enough semiconductors, while other companies will face more serious problems than they do.”

Apple’s production cuts are a clear sign that the supply disruptions wreaking havoc across QQ are worsening, which could jeopardize the prospects for economic recovery in the wake of the new crown pneumonia outbreak. Nearly all major manufacturers have been affected by the lack of key materials, such as semiconductors, while suffering from the inability to get finished products into the hands of consumers.

U.S. President Joe Biden is focusing on solving transportation bottlenecks, with the congested Port of Los Angeles planning to operate around the clock to deal with cargo shortages.QQZ-largest container shipping company A.P. Moller-Maersk A/S said it had to divert some ships from Britain’s Z-largest container port because of congestion at the port caused by a shortage of truckers.

Jim Reid, head of fundamental credit strategy QQ at Deutsche Bank. Jim Reid writes in Z new research BG: “Z recent complaints from chip producers suggest that problems are expected to persist.” This “will make central banks’ decisions more complex in the coming weeks as they grapple with growing supply constraints that are pushing up inflation while threatening to derail the recovery.

Apple had expected to produce 90 million new iPhones this year, but is now telling manufacturing partners that the total will be lower because Broadcom and Texas Instruments are struggling to deliver enough parts, people familiar with the matter said. Shares of Japan Display, which gets more than half of its revenue from Apple, fell 5.6 percent, joining a group of U.S. suppliers that fell in after-hours trading.

The main reason for the semiconductor supply shortage is the result of years of underinvestment combined with a failure to predict the explosive growth in demand for connected devices. Even many in the industry were surprised. Dutch EUV lithographer manufacturer ASML SX executive Peter? Wennink (Peter Wennink) said in July this year, the company underestimated the growth trend of the semiconductor industry in the past 15 years.

The company has had to wait a record nine consecutive months for chip orders to be completed, suggesting that the semiconductor shortage will continue to plague companies until 2022, and possibly beyond. qq consulting firm AlixPartners estimated last month that the QQ automotive industry will lose about $210 billion in sales in 2021 alone.

Earlier this year, Apple already warned that it would face iPhone and iPad supply constraints in the third quarter, but it did not lower its internal forecast at the time. Apple is expected to have its Z-largest sales blitz to date in the fourth quarter, with revenue of about $120 billion. That would be up about 7 percent from a year ago and more than Apple made in a full year 10 years ago.

In addition to facing a tight supply of iPhones, Apple is struggling to produce enough Apple Watch Series 7 and other products.

However, many analysts are also spotting opportunities for Apple investors. According to Morgan Stanley analysts, “If Apple is unable to meet near-term demand, the supply gap from competitors could be even larger, creating an opportunity for its stock to rise.”

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