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Coronavirus will hurt iPhone supplies

By 18th February 2020 February 20th, 2020 No Comments

Apple has warned that the destruction of the coronavirus will cause lower-than-expected revenue.

Microsoft said the production and sales were affected and that iPhone supply worldwide will be temporarily limited. Apple claim that the epidemic will hit its finance.

Apple, which had forecast record revenues of $67 billion for the quarter, did not disclose the likely blow. “We do not expect to meet the revenue guidance we provided for the March quarter,” Apple said in a statement. He added that” the rate of return to normal conditions is slower than expected.”

The company said sales of Apple products would fall as most stores in China closed or business hours were reduced. “Although our iPhone manufacturing partner sites are located outside Hubei province and all of these facilities have reopened, they are growing more slowly than we expected,” Apple said. “All our stores in China and many partner stores have been closed.” In addition, opening hours are reduced and customer traffic is low. We are gradually reopening our retail stores and will continue to do so as consistently and safely as possible.” All the Apple parts for iPhone repair will be a huge shortage for the next few months. JCB cuts production due to cornonavirus.

“World factories” are still closed. Analysts estimate the virus could halve demand for smartphones in China, the world’s largest smartphone market, in the first quarter. The automotive industry is another industry affected by supply chain disruptions. Last week, JCB, a heavy equipment maker, said it was cutting production in the UK because of a shortage of parts from China.
“Although we have discussed the negative impact of coronavirus on the iPhone over the past few weeks, the impact is far more severe than expected.”
But despite hopes that factories and stores will return to normal, Apple’s warning will underscore that China’s economy will be severely affected by the coronavirus.
Head of the international Monetary Fund, Said global growth could fall by about 0.1-0.2 percentage point, but stressed that there was a lot of uncertainty about the economic impact of the virus.

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