Apple: a 10% slowdown in iPhone delivery during the coronavirus crisis

After closing its Apple Stores, the Apple brand is expected to be hit by the coronavirus epidemic. Analyst Ming-Chi Kuo estimates that deliveries should slow by 10%.

In the fourth financial quarter of 2019, Apple sold more smartphones than Samsung and Huawei, a small feat when you compare the number of ranges marketed by the brand and the price of its devices. If the company is trying to invest in emerging markets such as India, where phones have been subject to a tariff revision to make them more attractive, its juiciest market in Asia remains China. However, the coronavirus epidemic is a game-changer. Apple has already closed all of its Apple Stores and its offices in the country, which slows activity, but we did not yet have a quantitative estimate on the impact that this decision could have on mobile sales. According to the still very well informed analyst Ming-Chi Kuo, deliveries are reported to have lost 10% in speed.

Revisions to sales forecasts

The People’s Republic of China has quarantined the city of Wuhan and its 36 million inhabitants, has already built (in less than 10 days) a hospital that can accommodate 1,000 beds, exceptional measures to contain what could turn into a pandemic. Apple closed its offices and Apple Store until February 9, a temporary measure because the company hopes to resume business as soon as possible. According to Kuo, the 10% slowdown in deliveries forces a revision of previous sales estimates: ultimately, it would be between 36 and 40 million units that should be sold in the first quarter of 2020.

Samsung under cover

Huawei will also be affected by the consequences of the epidemic, but their competitor Samsung, on the other hand, whose production chains have not been in China since October 2019, should not experience a slowdown. Samsung withdrew from the country following very small market shares of around 1 percent. If the coronavirus threat persists, the production of the future iPhone SE 2 could also be affected, as MacRumors notes.

Adam Still

A self-professed tech and coding geek, Adam currently attends Yale University as a Computer Science major and, as a talented developer, has already made numerous contributions to open source Python libraries including SciPy and NumPy. He is the leading editor of The Windy Apple and takes a major interest in technology news and the latest developments of all tech companies, especially Apple. His current phone is an iPhone XS.

2605 Copperhead Road, New Britain Connecticut, 06051
860-612-8283
[email protected]
Adam Still

About Adam Still

A self-professed tech and coding geek, Adam currently attends Yale University as a Computer Science major and, as a talented developer, has already made numerous contributions to open source Python libraries including SciPy and NumPy. He is the leading editor of The Windy Apple and takes a major interest in technology news and the latest developments of all tech companies, especially Apple. His current phone is an iPhone XS. 2605 Copperhead Road, New Britain Connecticut, 06051 860-612-8283 [email protected]

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