Apple has sent out a note to investors saying that “worldwide iPhone supply will be temporarily constrained” due to the coronavirus outbreak and that the company does not expect to meet the revenue guidance it had previously given for the March quarter on 28 January.
Apple said that while manufacturing sites have reopened in China, they “are ramping up more slowly than we had anticipated”, which will mean a worldwide shortage of iPhones. Given Apple’s excellent supply chain and global availability of the iPhone, this may not be a huge deal to consumers, but the repercussions of coronavirus have been enough for Apple to need to reassure investors.
“The health and well-being of every person who helps make these products possible is our paramount priority, and we are working in close consultation with our suppliers and public health experts as this ramp continues,” the note said. “These iPhone supply shortages will temporarily affect revenues worldwide.”
Also affected are sales within China, and every Apple Store in the country is currently closed. While online sales have remained open, they will surely also have taken a hit given the crisis. Apple said that sales outside of China were “in line with our expectations.”
Apple said it had more than doubled its previously announced donation to support the coronavirus crisis, though the figure was not announced when Tim Cook tweeted of it originally.