According to a Bloomberg report, Apple (NASDAQ:AAPL) is on track to launch its 5G-enabled iPhone 12 lineup in the fall. The production of new iPhones generally starts during May, the publication reported, and analysts are hoping supply chain issues will be remedied by then.
Last month, Apple had lowered its revenue forecast for the March-ended quarter, citing supply chain constraints and lower demand for its products. As consumer spending grinds to a halt, Apple might miss revenue guidance for the next quarter as well.
Earlier this month, Apple's major supplier, Foxconn, reported its worst revenue decline in seven years for the month of February. Another Apple supplier, Qorvo, also revised its revenue estimates lower for the March-ended quarter.
The situation is reportedly improving in China and Apple is reopening several offices and manufacturing units. Apple has reopened all of its 42 stores in China as the country slowly limps back to normalcy.
However, the epicenter of the COVID-19 pandemic has now shifted to Europe, and other countries are impacted, and though Foxconn expects to begin normal production by the end of this month, Apple sources key parts from several other partners in Southeast Asia. Apple has over 200 suppliers that account for "98% of procurement expenditures for materials, manufacturing, and assembly of [its] products."