The iPhone 14 Pro and iPhone 14 Pro Max will not be in time for Christmas!
The largest iPhone factory in the Chinese city of Zhengzhou has come out of lockdown required according to the anti-COVID measures in force in the country. After a tense month in which thousands of workers preferred to return home, others took their place and conflict was the order of the day, normalcy has begun to return. But the consequences for Apple are indisputable.
Of course, the above scenario compounded the production disadvantage that Apple had been assuming since the launch of the iPhone 14. Thus, it is estimated that at least 6 million units of iPhone 14 will not be in time for the holiday season, And although the number could still increase, with the restart of production, this would be less expensive for the bitten apple.
iPhone production resumes in Zhengzhou
With the situation as it is, it is a fact that many of the iPhone 14 Pro and iPhone 14 Pro will not be in time for the holiday season. According to statements by analyst Daniel Ives of Wedbush Securities:
Apple and Foxconn can resume normal operations now that the lockdown in Zhengzhou has been lifted. This is good news in a dark storm for Cupertino. There is a lot of heavy lifting ahead for Apple to get the factories back.
The analyst estimates that Foxconn’s iPhone city outages cost Apple about $1 billion a week in lost iPhone sales. The iPhone 14 Pro and Pro Max are the most expensive models in the iPhone 14 lineup. And they have been the most popular among consumers since their launch.
For his part, Apple analyst Ming-Chi Kuo said in a recent note that iPhone estimates could be 20% lower than expected in the December quarter. In the last month, the factory operated with an average capacity of 20% in November.
Kuo estimates that it should grow to 30%-40% in December, which would represent 15-20 million fewer iPhone 14 Pro and Pro Max units during the December quarter. This will have a significant impact on Apple’s earnings for the period. However, this would not prevent profits are affected by 20-30% during the holiday quarter.