Apple cuts iPad production by 50% to supply chips to iPhone 13

New Delhi: Apple has cut production of the iPad by 50 per cent in the last two months in view of the lack of chipset supply globally. The iPhone maker is slashing production of iPads to feed components to the newly launched iPhone 13.

According to a report by Nikkei Asia, Apple prefers iPhone production over iPad as the former has been a top revenue driver for the California-based company Cupertino.

Globally all brands are grappling with chip shortages, which have been impacted by the ongoing coronavirus pandemic which has also affected supply chains.

Many of the components used in the manufacture of the iPhone and iPad are common, thus, giving Apple the freedom to move supplies between devices in some cases. Common components include both peripheral and core chips.

The iPhone maker is currently prioritizing the production of the iPhone 13 series which was released in September this year. According to a report by Reuters news agency, the iPhone business is the biggest revenue driver for Apple, generating around $192 billion in 2020. Apple’s iPad also dominates the tablet space, with more than a third of the global market share, which generated nearly $32 billion for the company last year.

It’s worth noting that Apple has better met chip supply constraints than most OEMs due to its huge purchasing power.

Apple last month significantly cut production schedules for its latest iPhone 13 series due to global chip shortages. A report by 9to5Mac mentioned that Apple was expecting to make 10 million fewer phones this year than it had originally planned.

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