iPhone Manufacturer Warns Of Missed Earnings Over COVID-19
Foxconn, Apple’s main iPhone assembler, has warned that revenue will fall this quarter as the company continued to deal with a COVID-19 outbreak in China.
Bloomberg reports that the company reported missed earnings for the third quarter, saying revenue growth will be flat for the current three-month period.
The company is also now trying to ramp production back up at the world’s biggest iPhone factory in Zhengzhou.
The Zhengzhou plant is so integral to iPhone production that Apple recently shared a statement to say that the factory’s iPhone 14 Pro and iPhone 14 Pro Max output had been so badly hit that it expected customers to struggle to buy handsets.
The reduced inventory comes as the two high-end iPhones are already difficult to come by at Apple Stores and online via the company’s web store.
Foxconn is far from the only company in the middle of a tough moment, with Bloomberg noting that “harsh Covid restrictions are exacerbating the fallout from weakening demand for consumer electronics worldwide.”
Apple itself has reportedly slashed orders for the iPhone 14 and iPhone 14 Plus, with customers either choosing to hold onto their cash or spend more to get the much improved Pro models.
The iPhone 14 Pro and iPhone 14 Pro Max both pack the new Dynamic Island, an Always-On Display, and a new 48-megapixel camera.