Apple is likely to cut its iPhone 13 production targets for 2021 by up to 10 million pieces due to the global chip plant. This was reported by people familiar with the matter.
The company was planning to produce 90 million units of the new iPhone model in the last quarter of the year. But now it’s telling its production partners the number will be lower because Broadcom Inc. and Texas Instruments Inc. They are having difficulties supplying enough ingredients, said people who did not want to be named.
Apple Resources features Texas Instruments parts and Broadcom wireless components. The TI chip that controls the display power supply on the latest iPhones has also become a rarity. Apple is also facing a shortage of components from other suppliers.
Apple and TI officials declined to comment. Broadcom did not respond to a request for comment.
Shares of the Cupertino, California, tech giant fell 1.6 percent in late trading to $139.27 after Bloomberg reported the problems. At the close of trading on Tuesday, the stock was still 6.6 percent higher than it was at the start of the year. Broadcom and TI also fell in post-closing trading.
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