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The Financial Express

Apple cuts iPad production to install chips in iPhone 13

| Updated: November 03, 2021 19:03:50


Apple's iPhone 13 models are pictured at an Apple Store on the day the new Apple iPhone 13 series goes on sale, in Beijing, China September 24, 2021. REUTERS/Carlos Garcia Rawlins Apple's iPhone 13 models are pictured at an Apple Store on the day the new Apple iPhone 13 series goes on sale, in Beijing, China September 24, 2021. REUTERS/Carlos Garcia Rawlins

Apple Inc has cut back production of iPad tablets to allocate more components to the iPhone 13, a sign the global chip supply crunch is hitting Apple harder than previously indicated, Nikkei said on Tuesday, citing multiple sources, according to Reuters. 

Production of the iPad was down half from Apple's original plans for the past two months, the newspaper said on its website, adding that parts intended for older iPhones were also being switched to the iPhone 13.

Even though iPhone 13 production hit a snag due to factory closures in Asia and high demand in the second half of the year, Apple has weathered the supply crunch better than many other companies due to its massive purchasing power and long-term supply agreements with chip vendors, eating into its rivals' market share in the third quarter. read more

The iPhone maker is prioritising iPhone 13 output in part because it forecasts stronger demand for the smartphone than for the iPad as Western markets begin to emerge from the pandemic, Nikkei said, citing unidentified sources.

Apple did not immediately respond to Reuters' request for comment.

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