Apple suppliers deny iPhone 13 series production cut

A recent report shows that due to chip shortages in the industry, Apple will have to reduce the target for the iPhone 13 series. After the report that Apple will cut up to 10 million iPhone 13s, its stock price has been falling. According to Bank of America analyst, Wamsi Mohan, the production cut of the iPhone 13 series may lead to lower-than-expected sales of Apple’s new mobile phones in the fourth quarter of this year. The news of the iPhone 13 series cut caused some analysts to worry about the iPhone 13’s performance and Apple’s ability to keep up with demand. This is also affecting the company’s stock and the company’s suppliers are now fighting back.

Apple iPhone 13

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According to reports from Apple’s upstream suppliers, its component suppliers have not cut orders so far this year. However, the current situation is that the iPhone 13 Pro and iPhone 13 Pro Max orders now need to wait several weeks or even a month for the delivery date. The Watch Series 7 that went on sale this Friday also encountered the issue of delivery delays. Some high-end models will not ship until early December. A report last week stated that Apple’s suppliers are “competing” to keep up with the production schedule due to energy supply issues affecting production efficiency.

Apple’s suppliers are affected

Initial reports claim that Apple’s possible production cut targets are affecting the stock prices of its suppliers. This issue is affecting the likes of Skylink, STMicroelectronics, and Japan Display. In addition to the A-series chips, other chips required on the iPhone 13 series also face some challenges. According to sources, manufacturers such as Broadcom and Texas Instruments have been unable to provide enough components. This is the main reason for Apple’s adjustment of production capacity.

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Broadcom is Apple’s largest supplier of front-end and wireless charging modules. Similarly, Texas Instruments provides power management chips, repeaters, and other components. Apple’s supplier, Broadcom provides the AFEM-8215 front-end module and BCM59365 wireless charging interface for the iPhone 13 series. Texas Instruments provides display power management ICs, flash LED drivers, array drivers, and repeaters. Broadcom and Texas Instruments are unable to provide enough parts, thus the total output of the iPhone 13 is low.

In terms of delivery of new iPhones, orders for the iPhone 13 series on Apple’s official website will not arrive until about a month later. Several retail stores of Apple indicate that “the delivery is currently unavailable”. Apple’s telecom operator partners show the same information. This means that there is a general delay in the delivery of the iPhone 13 series.

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