Apple is feeling the effects of the global chip shortage, with the tech company unable to acquire the number of parts needed to meet their iPhone manufacturing goals, according to a Bloomberg report.
Supply constraints from Broadcom and Texas Instruments have caused the Cupertino-based tech company to drop its original production goal of 90 million iPhones in late 2021 by 10 million units.
In a teardown conducted by iFixit, it was shown that Broadcom and Texas Instruments are responsible for several critical components such as display power management and Face ID’s laser arrangement.
According to The Verge, Apple CEO Tim Cook had previously indicated that the company might be affected by chip supply shortages.
“We’ll do everything we can to mitigate whatever set of circumstances we’re dealt,” he said during Apple’s Q3 earnings call.
The company was hit by chip shortages earlier this year, seeing Apple’s share price drop by as much as 2.9% in the third quarter of 2021.
The chip supply shortage affects most tech companies, with the amount of time taken for these organisations to get their orders filled reaching 21 weeks in August.