FoxconnSource: Bloomberg

What you need to know

  • Coronavirus continues to impact production.
  • But demand for iPads is higher than usual.
  • That's because people are staying home instead of going into the office or school.

While coronavirus continues to impact the production of devices across China, there does seem to be an unexpected consequence of people being told to stay home from work and school. The demand for iPads is higher than normal for this time of year, according to a DigiTimes report.

It isn't clear exactly which iPads are proving popular among buyers, but it's likely Apple's entry-level 10.2-inch iPad is selling particularly well given its low price. However, with demand so high some retailers are increasing their prices so they can take advantage, making that entry-level iPad more costly.

E-commerce platforms are now the main conduit for consumers to buy tablets as most physical stores can hardly resume normal operations, but as tablets have sold out on many of these online shopping platforms, their prices have also gone up.

The platforms now sell 32GB and 128GB 10.2-inch iPad devices at CNY2,499 (US$355.5) and CNY3,099 per unit, respectively, CNY200 and CNY100 higher than offered at Apple stores for corresponding models.

Shortages of iPads are likely to become more and more likely as demand grows and Apple's ability to produce them continues to be hampered. DigiTimes notes that manufacturing capacity is currently at 50% of capacity at best. Factories simply haven't been able to ramp up production as quickly as first hoped.

Entry level but powerful

iPad 7 (2019)

The best best deal in tech

The entry level iPad has everything the previous one had, plus a bigger 10.2-inch display, and optional gigabit LTE and Smart Keyboard support.

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