|
Not
so fast, say analysts.
The iPhone maker, which had warned three months ago that supply
issues would dent its holiday-quarter revenue, on Thursday
posted record results largely boosted by sales of its premium
phones. It sees an improving situation, if some remaining
shortages.
"Most of the supply-constrained issues are over for Apple, but
not necessarily for everybody else," said Bob O'Donnell, chief
analyst at TECHnalysis Research.
Companies from electric automaker Tesla Inc to wafer fabrication
equipment supplier Lam Research have warned again that supply
chain issues, which crippled several industries, would continue
to limit production this year.
Semiconductor companies tend to give priority to bigger players
such as Apple, for its massive buying power, huge demand for its
products, and the company's ability to place custom orders for
components used in its products. And Apple's high-end chips are
costly, an attraction for the chip makers.
This essentially means Apple has an advantage and can procure
components relatively faster than rivals.
Still, while Apple got better service for more sophisticated
chips, like many others, it faced troubles with some of the
older technology chips, Daiwa Capital Markets analyst Lou
Miscioscia said.
Chips used in Apple iPads, which saw a 14% drop in revenue, use
chips with older technology, and supplies of those older chips
were particularly tight, Apple Chief Executive Tim Cook told
analysts.
Cook said the constraints on the older chips, or nodes, were
very significant in the holiday quarter. "Overall, we do see an
improvement in the March quarter in terms of the constraints
going down versus what they were in the December quarter," he
said.
Tesla CEO Elon Musk this week said supply chain woes would limit
manufacturing output in all company factories. "So the chip
shortage, while better than last year, is still an issue," he
told analysts.
Semiconductor equipment maker Lam Research noted new supply
challenges, with the Omicron surge adding more disruption to
freight and logistics operations. The company said it was seeing
scarcity of certain components and parts, including
semiconductors, a few weeks into 2022.
Analysts and market leaders in the semiconductor space held out
hopes that supply issues would ease later this year.
"That's going to remain a concern for the industry, but Apple
may be the exception to the rule," said Romeo Alvarez,
technology analyst at William O'Neil + Co.
(Reporting by Nivedita Balu in Bengaluru; Editing by Peter
Henderson and Leslie Adler)
[© 2022 Thomson Reuters. All rights
reserved.]
Copyright 2022 Reuters. All rights reserved. This material may not be published,
broadcast, rewritten or redistributed.
Thompson Reuters is solely responsible for this content.
|
|
