As we all know, Apple is an American multinational company. Its headquarters are in Cupertino, California. Apple places itself among one of the Big Four technology companies, alongside Amazon, Google, and Microsoft.
It is well known for its size and revenues. It is the world’s largest technology company by revenue and also one of the world’s most valuable companies. The company is also the world’s third-largest mobile phone manufacturer after Samsung and Huawei.
Apple becomes the first public U.S. company to value at over $1 trillion. Taking all this into consideration, we can assume it as a technological giant. So, what could be the reason behind taking off its production targets?
Apple Takes Off Production Targets In 2020
Long time back, many people predicted a sharp downturn in iPhone off-take during the year. However, shockingly the company levered it up, albeit by just 4%.
Apple has informed its suppliers about the plans to produce approximately 213 million iPhones by March 2021. The figure is comparatively less than the 220 million that the company predicted before. So, the reason behind this could be the Covid-19 outbreak.
Since mid-March, the company has shut down most of its retail stores. It also closed its manufacturing units across China and India. The company launched the mid-priced iPhone SE recently.
However, Apple’s CEO Tim announces to the world that they are ready for action once the lockdown halts the globe.
Wedbush Says 2021 Looks Promising For Apple
Ives is having positive vibes concerning the calendar year 2021. He says that unit shipments of the iPhone can be around 165 million to 185 million in 2020. Since there is bad news regarding the stock, all the focus now shifts to iPhone 12, 5G.
Apple carries strong underlying momentum into 2021. According to Wedbush, it can only be possible with the imminent launch of the iPhone 12.
In the past, Apple used to place orders regularly with suppliers sometime during May and June. However, to date, there is no move from the company to revise the orders. It hasn’t even made plans to adjust it to suit the demand that it may realise after the Covid-19 pandemic.