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Coronavirus: AirPods production increase at risk

by Milan
February 6, 2020
in Rumors
Vidalia, Georgia / USA - December 14, 2019 - A studio product shot of the white packaging box with the closed white charging case if Apple AirPods Pro set on a plain light color background.

Vidalia, Georgia / USA - December 14, 2019 - A studio product shot of the white packaging box with the closed white charging case if Apple AirPods Pro set on a plain light color background.

Rumor has it that Apple is planning to double the production volume of AirPods due to high demand. But this plan is in jeopardy due to the coronavirus. 

The business news platform Nikkei Asian Review reports that Apple’s plan to production of the AirPods This could even lead to a major outage over a longer period of time. The three main AirPods manufacturers Luxshare, Goertek and Inventec have completely stopped production, according to Nikkei. Although many of the suppliers want to start production again from February 10, there could still be "major problems" in the AirPods area because the components for final assembly are missing. In the report the source is cited as follows:

The three major AirPod assemblers are scheduled to return to work on Monday, like other Apple suppliers, but their production capacity could reach 50 percent at best in the first week under current conditions. One of the big concerns is whether other parts suppliers in China can resume work smoothly to produce enough parts for final assembly. We really have to wait and see how things play out next week. If the assemblers don't get enough parts delivered within two weeks, that would be a big problem.

45 million units in the first half of 2020

According to this, Apple's assembly partners are said to have components for around two weeks of production - the planned increase is therefore currently not feasible. According to previous reports, Apple is said to have planned to assemble around 45 million AirPods in the first half of the year. The reason for this is the high demand for the AirPods Pro. According to the source, all finished products are currently reserved for Apple's own retail stores and the online store. This means that delivery bottlenecks are being passed on to other retailers. Amazon For example, the AirPods Pro are completely sold out, although they are also difficult to get from Apple itself. Given the current situation The possible spring keynote also seems to be in danger. Observers believe that Apple could postpone it due to supply bottlenecks. (Photo by dominiquejames / Bigstockphoto)

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Via: Nikkei Asian Review
Tags: AirPodsAirPods 2AirPods ProChinacoronavirus
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