The ongoing chip shortage has been a pain point for over a year, and just in time for the 2021 holiday shopping season, it's now causing the 'bleakest' supply issues Apple has seen in years. For anyone interested in consumer tech, the negative effects of the chip shortage aren't anything new. It's impacted availability for cars, GPUs, gaming consoles, laptops, and just about everything else with a computer chip. It existed for much of 2020, all of 2021 so far, and is poised to keep going well into 2022.
Despite how much strain the shortage has caused, that hasn't stopped companies from attempting to do business as usual — including Apple. This year alone, Apple's released the M1 iMac, multiple new iPads, the iPhone 13/13 Pro, Apple Watch Series 7, AirPods 3, and a redesigned MacBook Pro. That's a lot to manage in any normal year, but especially when chip availability is at an all-time low. As the holiday season quickly approaches, Apple's ambition may have been a bit too much.
Per a new Bloomberg report, Apple analyst Mark Gurman warns that the chip shortage could negatively impact Apple's projected holiday revenue. Apple's currently estimated to rake in almost $120 billion in Q4 2021. That's a 7 percent increase compared to Q4 2020 and more than all of the combined sales of Walt Disney, Costco, Best Buy, and Target. Unfortunately, that number could end up being a lot less if the inventory situation doesn't get better. Whether it be just-released products or ones that are a few months old, shipping delays for Apple gadgets have become the new norm. As the report explains, "One month after going on sale, the iPhone 13 Pro is hard to find in every color, configuration and size. That’s not usually the case, according to Apple store employees, some of whom say they’re increasingly dealing with frustrated customers." At the time of publication, Apple's U.S. website shows estimated delivery dates as far out as November 26 for the new iPhone.
Shipping Delays Are Impacting Almost All Apple Devices
But it's not just the iPhone 13 that's hard to get. Bloomberg says the newest iPads face similar delays, as do older Apple devices. Anyone who orders the iPhone 12 likely won't see it until the end of October. Even the iPhone 11 — a phone from 2019 — has delivery estimates of mid-November. It's also reported that inventory in physical Apple Stores is just as bad, with some employees calling the supply situation "the bleakest in years."
This certainly isn't a place Apple wants to be in. Thankfully, there's still hope that things will get better. Not only has Apple navigated the chip shortage fairly well up until now, but its repeated hardware releases could be a sign that it's prepared for whatever comes next. As industry analysts Jim Suva and Asiya Merchant explain, "Apple’s announcements suggest that it is significantly better at navigating these disruptions."
What does all of this mean for you? If you're in the market for a new Apple device, it's a good idea to place that order sooner rather than later. Seeing November delivery dates in October might be concerning, but it's better than waiting until next month and potentially not getting that new iPhone or iPad until December.
Source: Bloomberg