After aggregating the cargo knowledge of the previous two months, there are experiences that the Apple iPad nonetheless wants as much as 9 weeks of supply ready time. Taking the Philippines for example, customers who ordered an area grey 256GB iPad Professional needed to wait 63 days for the supply. The report claims that Apple is helpless and the corporate has no selection however to prioritize the iPhone. Due to this fact, the iPad is making important sacrifices for the iPhone to satisfy its goal. It’s because the iPhone and iPad use related elements. The chip scarcity state of affairs signifies that they must share what is out there.
This additionally appears to be confirmed in Apple’s earnings report and exterior statistics. The info for the primary quarter of Apple’s 2022 fiscal yr (October-December 2021) launched not way back confirmed that iPad income was $7.25 billion, a year-on-year lower of 14%. In distinction, iPhone income was $71.63 billion, a year-on-year enhance of 9.2%. Apple’s CFO mentioned “very extreme provide constraints” have led to shortages of iPads. Moreover, he claims that the provision chain issues are primarily resulting from shortages of chips for older fashions.
In response to IDC’s statistics, Apple’s shipments within the fourth quarter decreased by 8.6% yr on yr.
Apple claims the Chinese language smartphone market
The iPad sacrifices aren’t in useless because the iPhone is doing nicely globally. The newest knowledge launched by Counterpoint reveals that within the fourth quarter of 2021, Apple turned China’s largest smartphone provider with a market share of 23%. That is the primary time Apple has topped the Chinese language cell phone market since 2015. Zhang Mengmeng, a analysis analyst at Counterpoint, mentioned Apple’s outperformance was pushed by a mixture of its pricing technique and the premium it gained from Huawei. Because the launch of the iPhone 13 sequence in September final yr, Apple has risen to first place within the Chinese language market. After that, it remained within the lead for a lot of the fourth quarter.
Apple’s iPhone 13 sequence was launched within the Chinese language market at a aggressive value. Because of this, many high-end customers turned to Apple cellphones, pushing Apple to the highest place once more. Counterpoint believes that Apple’s high-end success is an encouraging signal and can proceed to encourage Chinese language producers to deploy on the high-end. The common promoting value of smartphones is predicted to proceed to rise in China. Nonetheless, main smartphone manufacturers are actually intensifying efforts to boost the typical promoting costs in response to declining gross sales.
In reality, smartphone gross sales in China fell 9% year-on-year within the fourth quarter. That is the third straight quarter of declining smartphone gross sales. In response to Counterpoint, smartphone gross sales in 2021 will even proceed to say no for the fourth consecutive yr, down 2% year-on-year. Counterpoint identified that the previous yr has additionally been a milestone for Chinese language producers to undertake superior applied sciences. They’ve entered the upstream chip discipline with the likes of Vivo, Oppo and Xiaomi having their received chips.
