Apple Expecting iPhone and iPad Supply Constraints in September Quarter
During today's earnings call covering the third fiscal quarter of 2021 (second calendar quarter), Apple CFO Luca Maesteri said that Apple is expecting supply constraints to affect the iPhone and the iPad in the coming quarter.
"The supply constraints that we've seen in the June quarter will be higher in the September quarter," said Maestri. The constraints will impact iPhone and iPad sales in particular.
It is not clear if these predicted supply constraints will affect the iPhone 13 models that are expected to launch in September.
Apple CEO Tim Cook was asked whether the supply constraints will continue into the holiday quarter, but Cook said that he doesn't want to predict that. "We're going to take it one quarter at a time," he said. "We will do everything we can to mitigate whatever set of circumstances we're dealt." Cook went on to say that the constraints that Apple is seeing are the same constraints that are impacting other companies as well.
The majority of the constraints are of the variety that others are seeing. I would classify it 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. It's a little bit of that as well. As I said before, 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.
Cook also said that though Apple is expecting supply constraints, component costs in the aggregate have declined, but Apple is currently paying out more for freight than it would like.
Related Stories
Apple sold north of 40 million iPhone 13 models over the holiday period in a record number for the company, despite industry-wide chip shortages, according to Wedbush analyst Daniel Ives.
Last year, reports began emerging that demand for iPhone 13 models was slowing ahead of the holidays as delivery estimates for iPhone 13 models started to improve. However in a new note to...
Apple is set to receive supply priority status from pure play foundry TSMC for iPhone 13 chip orders going into the third quarter of 2021, as the Taiwanese partner grapples with orders for automative and other device chips amid a supply shortfall, according to DigiTimes.
TSMC is also set to ramp up its output for the upcoming iPhone series in the third quarter, the sources indicated.Other chip ...
Apple's revenue for the fourth fiscal quarter of 2021 came in under expectations, which Apple CEO Tim Cook said was caused by supply constraints on iPhones, iPads, and Macs.
In an interview with CNBC, Cook said the supply issues cost Apple around $6 billion."We had a very strong performance despite larger than expected supply constraints, which we estimate to be around $6 billion," Cook told ...
iPhones accounted for around one-fifth of all smartphone shipments in the fourth quarter of 2021, allowing Apple to reclaim first place as the biggest smartphone vendor, according to a report from Canalys.
Canalys estimates that the iPhone accounted for 22 percent of worldwide smartphone shipments in the fourth quarter of 2021. The scale of Apple's shipments is thanks to strong demand for...
Apple became the top smartphone brand in China for the first time in six years in the fourth quarter of 2021, Counterpoint Research reports.
While smartphone sales in China declined nine percent year on year for the third consecutive quarter in the fourth quarter of 2021, and smartphone sales declined two percent in 2021 for the fourth consecutive year, Apple finally surpassed Vivo to become ...
Foxconn, the biggest assembler of iPhones, today announced that the component shortages that have constrained the supply of devices over the past two years are now showing signs of easing, Bloomberg reports.
The first quarter of 2022 is said to be experiencing a "major improvement" in parts shortages, and "overall supply constraints" are expected to ease in the second half of the year, a...
During today's earnings call for the fourth fiscal quarter of 2021, Apple CEO Tim Cook said that Apple is "working feverishly" to boost iPhone 13 supplies.
Cook said that Apple feels "very very good" about where demand is at for the iPhone 13, in terms of sales compared to the iPhone 12. Supplies are constrained, though, and Apple has not been able to meet demand.
Initial supplies of the...
Apple faced significant supply constraints across all devices during the first fiscal quarter of 2022, but product supplies are expected to improve in the March quarter, Apple CEO Tim Cook told The Wall Street Journal ahead of today's earnings call.
"We saw supply constraints across most of our products," Mr. Cook said in an interview Thursday as the company released its results. "We're...
Popular Stories
Apple has "started to record" its virtual September event, where it's expected to announce the upcoming iPhone 14 lineup, the Apple Watch Series 8, and a new "rugged" Apple Watch model, according to Bloomberg's Mark Gurman. Writing in his latest Power On newsletter, Gurman says the event, which is expected to take place in the early part of September, is already under production, implying...
The standard 41mm and 45mm models of the Apple Watch Series 8 will feature the same design as the Apple Watch Series 7, according to Twitter user @ShrimpApplePro, who was first to reveal that iPhone 14 Pro models would feature a new pill-and-hole display.
Titanium will not be an option for the standard Apple Watch Series 8 models either, according to @ShrimpApplePro, but Bloomberg's Mark...
The iPhone 14 and iPhone 14 Pro models are rumored to be available in a refreshed range of color options, including an all-new purple color. Most expectations about the iPhone 14 lineup's color options come from an unverified post on Chinese social media site Weibo earlier this year.
Overall, the iPhone 14 and iPhone 14 Pro's selection of color options could look fairly similar to those of the ...
With the fifth beta of iOS 16, Apple has updated the battery icon on iPhones with Face ID to display the specific battery percentage rather than just a visual representation of battery level. The new battery indicator is available on iPhone 12 and iPhone 13 models, with the exception of the 5.4-inch iPhone 12/13 mini. It is also available on the iPhone X and the iPhone XS. Battery percent...
The camera bump on the upcoming iPhone 14 Pro Max is expected to be the largest rear lens housing Apple has ever installed on its flagship smartphones, and a new photo offers a rare glimpse at just how prominent it is compared to Apple's predecessor device.
iPhone 14 Pro Max dummy (left) vs iPhone 13 Pro Max All iPhone 14 models are expected to see upgrades to the Ultra Wide camera on the...
A new rumor claims that the next-generation 12.9-inch and 11-inch iPad Pro will feature a new four-pin Smart Connector, an update from the current three-pin connector in the iPad Pro.
The rumor from Mac Otakara, citing "reliable sources," says that the next iPad Pro, expected to debut possibly as soon as this fall, will feature a new Smart Connector that has four-pins rather than three. The...
Top Rated Comments
Hoping this does not delay September's event. People are waiting what Apple has in store.
Is this a marketing trick for you to upgrade to get a new iPhone this September?
When have we heard Supply is not constrained at the product launch... Never.