Apple warns of lower shipment of iPhone 14 Pro models due to Covid-19 restrictions • TechCrunch

Apple warned investors and customers on Sunday that it expects to ship fewer iPhone 14 Pro and iPhone 14 Pro Max units as the world’s most valuable tech company struggles with the ongoing Covid-19 lockdown in China.

The company said it still sees strong demand for the pro models of the new iPhone 14 range, but the lockdown restriction has caused it to lower its previous shipping estimates. The warning comes at a crucial time for Apple as the company, like many others, prepares for the Christmas shopping season.

“The facility [located in Zhengzhou, China] currently operates at a significantly reduced capacity. As we have done during the COVID-19 pandemic, we are prioritizing the health and safety of workers in our supply chain,” the company said in a press release. blog post.

China ordered a seven-day closure of the area around Foxconn’s flagship plant in Zhengzhou earlier this month, doubling a similar restriction imposed in the region last month.

Known as iPhone City, the assembly line is the largest production site for Apple’s smartphones and is home to approximately 200,000 employees. The Foxconn factory produces four of the five current-generation iPhone handsets, according to analysts from research firm Counterpoint.

In a separate announcement on Sunday, Foxconn said it would “review” its own fourth-quarter outlook and that it was working with authorities to “return production to full capacity as soon as possible.”

Like many companies, Apple has been looking for ways to support the shipping of its products amid a global supply chain disruption for more than two years. The reveal around the shipments on Sunday is rare for Apple, which has largely chosen to make such disclosures during its quarterly earnings calls.

However, the update does not come as a surprise. Apple chief executive Tim Cook said in the recent earnings call last month that offerings for the iPhone 14 Pro and iPhone 14 Pro Max have been “limited” since launch. “We are limited today and so we are working very hard to meet the demand,” he said during the call.

The company said on Sunday it is “working closely with our supplier to return to normal production levels while ensuring the health and safety of every employee.”

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