In India, Foxconn is now the main assembler of new iPhone models sincetheir manufacturer has chosen to relocate its production there in order to reduce costs. But if analysts' estimates concerning the number of units produced have so far boded very well, it is possible that a recent incident will reshuffle the cards of Asian logistics...
Indeed, a factory in the Hon Hai group has simply reduced its production rate by half following an infection of its employees with the coronavirus. On site, the peninsula is particularly affected by the pandemic since it has already killed more than 250,000 victims. The number of cases, for its part, is soon approaching twenty-five million, despite the compulsory quarantine measures that France also knows.
Consequences difficult to gauge
As the production capacity of the brand in question has not been officially confirmed, we can currently only rely on the testimonies of the employees concerned to judge the seriousness of the problem. The only information shared to date is that only a small part of the workers actually continue to run the store. And if exits are authorized, entries are prohibited.
Until when? No one knows. On the other hand, we can base ourselves on the strategy put in place by Apple until now to assume that even a problem of this scale should not really worry it. Indeed, the firm is multiplying its partners in order to avoid potential slowdowns. Furthermore, even whenthe second generation iPhone SEwas delayed, it was finally released just a few weeks after the scheduled date, according to rumors at the time.
Still no rebound on Wall Street
For its part, AAPL stock is trading for the equivalent of $125.91 on the New York Stock Exchange at the time of writing. A drop in the price of around ten points took place recently, but does not seem to be correlated with this announcement ofReutersregarding Foxconn.
However, sales of Macs with M1 processors and the new iPad Pros seem poised to once again propel Cupertino's action to new records. Some could therefore take advantage of the lull to bet on this bet…
