iPhone production is taking a pretty big hit with the news that Apple might cut production targets for the latest iPhone 13 models by ten million units due to the current chip crunch.
- Apple may lower iPhone 13 production targets by ten million units
- This is due to ongoing issues with silicon production and chip shortages
- With fewer units built, iPhone 13 delivery times will continue slipping
Apple has reportedly instructed its manufacturing partners that it will be cutting planned production targets for all iPhone 13 models by a whopping ten million units for the rest of calendar 2021. The original plan called for 90 million iPhone 13 units delivered before 2021 wraps up. Read: 20+ iPhone photography tips and tricks all users should know
Surely the recent challenges to production in China caused by power usage restrictions must be behind Apple’s move, right? Actually, blame it on the ongoing chip shortage. Can you be more specific? Sure, it’s not that Apple’s main silicon producer TSMC is unable to churn out Apple chips in the agreed quantities.
Apple has a rich war chest and is known for leveraging massive prepayments to secure long-term supply agreements with component vendors. Instead, according to a new report from Bloomberg, Apple suppliers Broadcom and Texas Instruments are to blame.
The company had expected to produce 90 million new iPhone models in the last three months of the year, but it’s now telling manufacturing partners that the total will be lower because Broadcom and Texas Instruments are struggling to deliver enough components.
The report doesn’t mention which specific Broadcom and Texas Instruments components might be in tight supply. Major chipmakers, including TMC, Samsung and Intel, have warned that semiconductor supply issues may extend into 2023.
Expect iPhone 13 shipping times to continue slipping
The iPhone 13 mini and iPhone 13 models are listed with a delivery time of 7-10 business days when ordered online from Apple.com. Shipping times for Pro-branded iPhone 13 models are already well into November. If you order an iPhone 13 Pro or iPhone 13 Pro Max, be prepared to wait up to 4-5 weeks to have it delivered to your doorstep.
These shipping estimates are the same across all storage capacities and color options.
If the report is accurate and Apple does cut the iPhone 13 production targets by ten million units, that’s a lot of phones that won’t be paired with their would-be buyers anytime soon. And that’s a problem given the seasonal nature of Apple’s business and the fact that the lucrative holiday shipping season is nearing fast.
In other words, expect wait times for all iPhone 13 models to continue slipping further.