Apple, the riots in the Foxconn factories are expensive: 6 million iPhone 14s less than expected
and estimates speak of 30% fewer iPhones than expected by Apple and by Foxconn itself. Translated: 6 million units less, under Christmas.
The riots that took place in the Foxconn factories in Zhengzhou will cost Apple dearly . Between mass resignations, harshly repressed protests and continued production halts, it is estimated that the supplier will be forced to deliver 6 million less iPhones than expected.
A massacre, considering that all this will translate into a difficult availability of the new iPhone 14 (especially the Pro models) at Christmas, by far the most important period of the year for Apple and any other consumer electronics manufacturer.
There would be 20,000 workers who have chosen to resign en masse , taking advantage of a generous severance package offered by Foxconn itself. The situation had now become untenable: the workers – as we had said – had organized some heated protests, after the company had not kept its agreements, delaying the payment of the promised hiring bonuses.
All this translates into a huge delay in the production of new iPhones. Estimates speak of 30% fewer iPhones than expected by Apple and Foxconn itself. Around Christmas, 6 million fewer iPhones will be shipped than expected.
The first riots, we recall, were born after an outbreak of COVID-19 was born inside the factory. Foxconn had responded by increasing controls and significantly worsening the quality of life of workers. What’s more, the company had also gone back on its word, changing without warning the requirements for receiving a generous bonus that had been promised to all new hires. The protests – which were followed by mass resignations and frequent stops in production – are born from here.
