The coronavirus has proven to be detrimental for the technology industry, with countless factories in the People’s Republic of China being forced to shut down production. Analysts determined that these shutdown effects would be minimal, with employees returning to work by February 15th. It appears that these manufacturing facilities will remain closed for the distant future, with the Apple Corporation informing their investors that the production impact will be more significant than initially reported.
Concerns regarding the Covid-19 virus has prompted the Apple Company to donate millions towards aid relief, which will assist in destroying this virus across China. This isn’t being done from the kindness of their hearts but instead an investment to ensure production facilities are back in operation. Slower than normal conditions have investors and executives with Apple concerned that it’ll drastically lower their bottom line in the 1st and 2nd quarter of 2020.
North America is the most popular market for the Apple Company, with an average of 5+ million devices sold annually. They’ll focus a considerable percentage of available products to the Western market, with worldwide supplies taking the blatant hit. This means consumers in the European Union; the Middle East and Asia will find themselves with limited availability for the iPhone 11.
Asian profit valuations have already dropped drastically since December 31st, with the Apple Company having to shut down their retail locations across China and Hong Kong. It’s resulted in 100+ thousand devices not being sold over the last four weeks. Affected industries from the coronavirus are dozens, with the technology market receiving a particular case of isolation. 75% of all production of tech-related products are manufactured in China, with financial analysts expecting to see substantial declines in availability for Television Sets to Personal Computers. It should be noted that the tech industry has been so isolated that the Mobile World Conference was terminated for 2020.
Supporters behind the Apple Company were becoming excited with the idea that 5G Telecommunications would be provided with the iPhone Twelve. It appears that the coronavirus will force this feature to be delayed until 2021, with the Qualcomm Company expecting substantial production delays with the X55 and X60-5G Modems. Insiders with the Apple Company noted that iPhone 12 development with Qualcomm’s new antenna was proving to be challenging. These unexpected delays with the modems could benefit Apple or give them a public excuse to fall back on for consumers.