Apple reduces iPhone production
Apple is scaling back its orders for iPhones, The Wall Street Journal reports, forcing its Chinese suppliers to lay off staff as they ready themselves for lower sales of Apple's flagship smartphone. People familiar with Apple's supply chain told the WSJ that the company has cut order forecasts for iPhones over the past few months. In response to decreased orders, Foxconn — Apple's main iPhone supplier — has been given $12 million of government subsidies to help it avoid mass layoffs.
Foxconn says that the money is simply an incentive provided by the city of Zhengzhou “in recognition of our company's contributions to maintaining our significant work force at our Zhengzhou facility throughout that year,” but a notice on the city government's website stated that the 81.9 million yuan ($12.6 million) grant was an “unemployment-insurance work-force stabilization subsidy.” Other sources also indicate that Chinese manufacturers have been dealing with a shortfall in Apple orders for a while now. In the last two months of 2015, a traditionally busy time for production, Chinese factories had some unexpected idle time, and according to the WSJ's sources, Foxconn started sending workers home early for the Chinese new year last month — two months early. (portfolio.hu)
Related news
Apple is the most valuable brand in the world for the second year in a row, according to Brand Finance
For the second year in a row, Apple is the…
Read more >Best Global Brands: the most valuable brands in 2024
This autumn global brand consultancy Interbrand unveiled its Best Global…
Read more >Related news
SPAR’s innovative packaging solution that uses less plastic has been recognized with prestigious awards
SPAR Hungary’s innovative packaging technology has been honored with two…
Read more >The Chairman and CEO of Szerencsejáték Zrt. is leaving
The Chairman and CEO of Szerencsejáték Zrt. will leave his…
Read more >Hungexpo: more than 23 thousand visitors visited the Travel+ Exhibition and the Budapest Boat Show
More than 23 thousand visitors visited the 47th Travel+ International…
Read more >