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Apple’s iPhone unaffected by global chip shortage that is affecting rivals

Apple's iPhone unaffected by global chip shortage that is affecting rivals

Image Credits: Apple Inc.

New research has claimed that Apple’s iPhone continues to be unaffected by the global chip shortage that is affecting its rivals. The study shows that even though the tech giant is starting to feel the pressure arising from the chip shortage, its signature iPhone range is faring better than its contemporaries.

Shortages Standing in the Way of a Strong Rebound

A report by Counterpoint Research suggests that the company has decided to lower its global forecast for smartphone shipment to an estimated annual growth of 6 percent, at 1.41 billion devices, bringing it down from its originally predicted 9 percent growth rate, which had stood at around 1.45 billion phones.

The research firm says in a statement that post the COVID, the smartphone industry was hit quite hard, but has set for a “strong rebound this year.” It adds that vendors have been placing large orders since last year, even as consumer demands arising from delayed replacement purchases helped manage the first quarter. At the same time though, many vendors have reported receiving only 80 percent of their orders for components.


The company further reports that the scenarios seems to only become worse during the third quarter of 2021, with smartphone makers asserting that the delivery of components to them has fallen further, hitting only 70 percent of their requests. This is apparently true for about 90 percent of the smartphone industry.

Research Director Tom Kang says that the shortage is apparently affecting all brands, from Samsung, to Xiaomi and Oppo. At the same time, Apple appears to be faring well even in these times, being the least affected by the semiconductor shortage.

While the new research does not reveal or even hint at why Apple seems to be doing better than its rivals, there have been some suggestions that the tech biggie might have stockpiled upon chips previously. At the same time, this has also caused concerns among users about the potential the prices of devices becoming high temporarily, as companies make efforts to tackle the limited supply of components.

The foundry industry is seeing more and more firms turn towards it, but prices for foundry services have managed to remain at moderate levels, thanks mainly to the “long-term nature of contracts.” However, these prices too, could end up rising if the shortage continues on for longer periods (and it currently does seem to be on its way towards exactly that).


Source: AppleInsider




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