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Apple reportedly requires suppliers to reduce production delays

Apple CEO Tim Cook is posing next to the new iPhone 11 image.

Hit Betancur AFP | Getty Images

Apple is pressing suppliers to reduce production delays for the next-generation iPhone series after the coronavirus blockade in China and the United States.

Nikkei said iPhone makers are planning to release four models with a 5G lineup of three different screen sizes, and are facing a delay of four weeks to two months due to their mass production.

When I was contacted by CNBC, I couldn’t get Apple’s comment.

Apple assembles most iPhones in China, but the design team and other features are at its headquarters in Cupertino, California. During the coronavirus outbreak in China earlier this year, Apple’s iPhone assembly plant was shut down. They have resumed since then.

However, in March, California enacted a “keep in place” order affecting Apple staff. News publishers reported that some Apple employees returned to their headquarters in June to release their iPhones on time.

Sources told the Nikkei Asia Review that Apple is less likely to delay the launch of the 5G iPhone until 2021. The publication reported that it was the worst scenario faced three months ago.

Apple typically announces the new iPhone in September. Nikkei said about the reported delays where the company would normally develop in its timeline.

One source told Nikkei that some final iPhone assemblies could be postponed until early October and could be postponed.

Apple rivals, including Samsung and Huawei, have already launched 5G-enabled handsets on the market. Next-generation networks are not very popular, but are rapidly developing in some countries such as China and South Korea. Some analysts see the release of the 5G iPhone as a potential catalyst for Apple’s rising stock price.

Apple has also instructed its suppliers to build more than 45 million old iPhone models, including the iPhone XR, iPhone 11 series, and iPhone SE, to maintain sales momentum, Nikkei reported.

Read the full Nikkei Asia Review Report here.

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