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TEXXR

Chronicles

The story behind the story

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Sources: Apple is weighing a delay of the launch of the iPhone 12 by months over fears of low sales and supply chain constraints amid the coronavirus pandemic

US tech giant assesses coronavirus impact on global demand  —  PALO ALTO/TAIPEIApple is preparing the ground to possibly delay …

Nikkei Asian Review

Context & Ripple Effects

The warning signs were already public before this report: ex-Apple employees and supply chain experts said in February that new iPhone production prep, which normally starts early in the year, could slip because of COVID-19 (production preparation may be delayed). What changed by late March is that the concern moved from factory readiness to the launch itself — Apple is now preparing the ground for a months-long iPhone 12 delay, citing both weak global demand and supply constraints.

That makes this a demand-side story, not just a logistics one: Apple is stress-testing whether customers will buy a flagship during a pandemic recession, and the answer will shape how the entire fall smartphone calendar lines up.

First-order effects

  • Apple's assembly and component suppliers face shifting production schedules, since ramp plans built around a normal autumn launch would need re-baselining if the slip holds.
  • Carriers and retail channels lose their usual anchor product for the holiday quarter, forcing them to plan promotions around an older iPhone lineup for longer.

Second-order effects

  • Rivals shipping flagships on schedule gain an unusual window of less competition at the top of the market, while component makers that sized capacity for Apple's volumes see orders arrive later rather than larger.
  • A confirmed slip would compress Apple's own roadmap — the WSJ-reported month-long production pushback suggests the company was already trading launch timing against manufacturing reality.

Third-order effects

  • The pattern repeats: by late 2021 Apple had cut projected iPhone 13 production targets by up to 10M units and told suppliers the shortfall may not be recovered in 2022 (iPhone 13 production cut), indicating pandemic-era volatility became a recurring constraint on Apple's cadence rather than a one-off.
  • If launch timing keeps bending to supply and demand shocks, Apple's annual refresh loses its fixed-calendar character, and suppliers must plan around ranges instead of dates.

The trend: Pandemic-era demand swings and supply constraints are turning Apple's once-fixed annual iPhone launch into a movable target, with each cycle's production targets adjusted after the fact.

Discussion

  • @danieleran Daniel Eran Dilger on x
    @Techmeme Nikkei was consistently wrong in its reports about the iPhone supply chain, frequently claiming Apple had slashed orders as proof iPhone X wasn't selling well. So this anonymous report really deserves further scrutiny.
  • @nar @nar on x
    Apple and suppliers planned to develop a concrete prototype for the phones from early March, but it had to delay such close collaboration, which requires hands-on testing, until the end of the month. It was delayed again as the U.S. situation worsened. https://asia.nikkei.com/...
  • @benbajarin Ben Bajarin on x
    I wrote about this as a possibility in my subscriber note a few weeks ago. Supply chain can handle it but the larger point is if demand would be low due to economy then delaying makes sense. https://twitter.com/...
  • @scobleizer Robert Scoble on x
    @Techmeme That actually is good news long term. I wouldn't launch new products in a world where people are really struggling financially and, worse, dying. Figure that out, then launch new phones next year and help the world rebuild.