Apple slashes IPhone 13 production by as much as 10 million units

Apple may have to slash its production of IPhone 13 by as much as 10 million units, according to Bloomberg News.

The company was expected to produce 90 million units of the new IPhone model, but the global chip shortage has forced Apple to inform its manufacturers about the reduction.

The chip crunch has put immense pressure on industries from automobiles to electronics, leading many automakers to temporarily suspend production. But Apple usually weathered the supply storm due to its massive purchasing power and long-term supply agreements with chip vendors.

In July, Apple forecasted slowing revenue growth and said the chip shortage, which had started hitting its ability to sell Macs and iPads, would also crimp iPhone production.

Soaring energy prices and delayed deliveries around the world are also adding to shortages. According to a report by CNBC, no less than 65 containers were waiting to offload at the Port of Long Beach in California. Some of these cargo ships had already been on anchor for 10 days before managing to offload their cargo.