Apple is Low on iPhone 12 Chips: Report



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  • Apple is reportedly facing a shortage of power chips for the new iPhone 12, people familiar with the matter told Bloomberg.
  • The chip shortage is caused by increased demand for silicon around the world and supply chain disruption due to the coronavirus pandemic, the people said.
  • Chips are a vital component for managing power in the new iPhones, which have additional camera features and are 5G compatible.
  • Apple Chief Executive Tim Cook said on Oct. 29 that the iPhone supply problems “are not a surprise” because Apple had just started ramping up production, but did not specifically mention power chips.
  • Visit the Business Insider home page for more stories.

Apple is facing supply problems for iPhone 12 power chips, people with knowledge of the matter told Bloomberg.

In October, Apple released four new variants of the iPhone 12, which have 5G connectivity and new camera features. These can consume power, and the chips in question are a crucial component for managing power in the iPhone.

The main causes of the shortage are increased demand for silicon around the world and disruption in supply chains due to the COVID-19 pandemic, according to the people.

The outages are expected to continue for the next two quarters, the people said.

In response, Apple has reassigned some components from the iPad to the iPhone 12 Pro, two people familiar with the matter told Nikkei Asia.

Taiwan Semiconductor Manufacturing Co., which is Apple’s top chipmaker, said in October that 5G smartphones require 30% to 40% more chip content compared to 4G devices, according to Bloomberg.

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In a conference call with analysts on Oct. 29, Apple CEO Tim Cook discussed supply limitations for the iPhone 12, Mac, iPad and some Apple Watch models, but did not specifically point out the power chips.

Cook said the iPhone supply problems “are not a surprise” because Apple had just started ramping up production. “It is difficult to predict” how long the supply restrictions will last, he said.

While Apple’s website shows fast delivery for the normal iPhone 12 in the US, the iPhone 12 Pro won’t reach customers until late November or early December. Many of the iPad models will ship between mid to late November, and some Apple Watches may also arrive in late November.

Apple did not immediately respond to a request for comment.

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