The effects of the Coronavirus (COVID-19) they continue to be felt in all aspects of daily life, business operations and global politics. Not long ago, Apple announced the closure of its 17 stores in Italy until further notice. Now, news from China indicate that Apple may have even more inventory problems in the country – in relation, specifically, to the iPad.
The information is Nikkei Asian Review: apparently, the demand for Apple tablets is high in the Wall Country because consumers are turning to devices for study and domestic work, since, with most collective activities suspended in China until further notice, a good part of citizens are being forced to work and study from their homes. For these tasks, as is well known, the iPad is a great ally – Apple itself sent tablets to employees and their isolated partners in the country.
There is a problem, however: the same phenomenon that is causing the increase in demand for iPads is, at the same time, slowing down its production pace. As we already know, the Coronavirus outbreak has slowed factories and assembly lines around the world, especially in China; with that, Apple is not managing to produce enough tablets to satisfy the demand in the country.
The problems are more accentuated with the cheapest products in the line: the 10.2 inch iPad has an estimated delivery time of three to four weeks in China, while the 12.9-inch iPad Pro (at the other end of the price range) also has limited availability, being shipped within two weeks to consumers. Local retailers, such as T-Mall, are implementing purchase limits, allowing consumers to purchase a maximum of six iPads at once.
The news, of course, is not very good for Apple – the company has spent the last few years fighting for an expansion in the very competitive Chinese market and now, at the first opportunity, is unable to satisfy demand. Still, not everything is negative: Morgan Stanley analyst Katy Huberty, for example, is betting that China’s consumers will spend more money on apps and services da Maçã, increasing the company’s revenue.
It remains to be seen, now, when Apple will be able to normalize the pace of production – and if, when the dust settles, the Chinese will still have that keen interest in iPads. We will see.
via Cult of Mac
