The launch of the 5G iPhone is expected to get delayed by months. This information is according to new media reports and the communications department of the giant tech company. The shift in Apple’s plans is mainly because of the COVID-19 outbreak. The novel coronavirus has affected demand alongside the supply processes of nearly all tech companies worldwide. Initially, it was speculated that Apple would retain the schedule of introducing the new iPhone gadgets in September. JPMorgan analyst in new notes mentioned the launching of the iPhone model might be delayed one or even two months contrary to expectations of many markets.
Deliberating on the likelihood of postponing the launch, Apple Company has had internal seminars to discuss the different parameters that should be put into consideration before the launch of new products. The meeting reports were given by Nikkei Asian Review, which pointed at people conversant with development of Apple flagship gadgets such as the iPhone. Planning the delays has been hugely played by the falling demand for smartphone markets. The drop is evident with the COVID-19 outbreak, which has impacted almost all countries globally.
Furthermore, Apple is experiencing supply chain limitations because of closure of the various industrial plants in China, India, among other markets in Europe. The closure is a measure taken to prevent further spreading of COVID-19. The acute respiratory syndromes of the coronavirus cause the ailment. Apple is having four different versions of the new iPhone that it planned to introduce this year. Also, Apple required its supply partners to prepare a hundred million divisions for the latest lineups of 2020. In the same way, prototypes for the latest models were deliberated so they could be developed early next year. However, the coronavirus pandemic has apparently impacted the original plans of the firm that has the most expensive brand and the largest company on the globe by market capitalization.
Apple is expected to make the final decision in December, 2020 given the circumstances prevailing on international markets. Suppliers haven’t received official notification about the delays. Moreover, Apple is preparing to urge most of its suppliers to fill the gaps due to COVID-19 market supply chain issues.
Tim Cook, the Apple CEO, has emphasized that the go-slow in this period is temporary and is not a long-term issue. The confidence displayed by Tim is evident as Apple continues to reopen some retail stores based in China. The reopening helps to overcome experienced hurdles.
Besides, analysts from JPMorgan, in a note, predicted the delay of launching the 5G iPhone model. The analysts said that rescheduling of the Apple launch for two months was imminent. The analysts cited reasons like a production issue caused by travel restriction. Also, the slow progress of the 5G network worldwide due to the COVID-19 pandemic was another hindrance.