What you need to know
- Apple's component suppliers are said to be bracing for a slowdown in orders.
- DigiTimes says that Apple has reduced its shipment estimates for its new 5G iPhones.
- They are still expected to unveil the phones in 2020 however.
A DigiTimes report says that Apple's suppliers are bracing for a slowdown in shipments for the iPhone.
According to the report:
Shipments of voice coil motors (VCMs) used in camera modules for Apple's upcoming 5G iPhones are likely to see a slowdown around the middle or the latter half of the second quarter, according to industry sources.
The new 5G iPhones will have a multi-camera design, and orders for VCMs were significant during the first quarter because of Apple's high estimation for shipments of the components, the sources said. However, with Apple reportedly having reduced its shipment estimates in mid-April, VCM orders are expected to be seriously undermined, the sources noted.
As previous rumors have confirmed, Apple is still expected to announce the new iPhone 12 lineup in 2020, perhaps a little later than usual. However, the report claims that "mass shipments for the new devices might not pick up until the first half of 2021", in particular models that support mmWave 5G.
Several component makers seem to have benefited from strong orders in the first quarter of this year, however, orders for Q2 are more conservative and they have "no visibility for orders in the second half."
The report also notes that the new iPhone SE (2020) could "cripple demand for high-end smartphones" including the 5G iPhones due to the coronavirus pandemic, citing "seriously undermined" consumer purchasing in Europe and the U.S.
A recent report claimed that Apple's new iPhone would be released between October and December, and that mmWave support might only feature in the U.S.
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