What They Say
Nikkei reported that Apple plans to ‘slash’ its production plans for iPhone 12 mini in the first half of 2012, although it still has an annual target of 230 million for 2021, up 11.6%. In the first half, forecasts of (at times) over 100 million units of demand across all its smartphones, including older models, have moderated to 75 million.
The adjustment of production levels for the iPhone 12, iPhone 12 Pro and Pro Max was comparatively mild and demand for those models remains relatively healthy, Nikkei said.
Sources told Nikkei that as of the end of last year, around 10% to 15% of Apple’s orders for the iPhone 12 series were allocated to the mini. However, it seems that users are concerned that the smaller size and battery combined with the higher power consumption of 5G does not give the best balance.
The paper also said that plans for MacBook production based on the firm’s own chips have now slipped into the second half, after original schedules of production in Q2.
What We Think
Apple will do well to maintain growth of 11.6% this year, given tight supply chains, although given Tim Cook’s background, the firm should be good at managing them. It is also not as squeezed on cost as most suppliers. (BR)
