Coronavirus epidemic sparks iPhone shortage after thousands of factories hit

The world is facing an iPhone shortage due to the coronavirus.

Production of the device has been hit in thousands of Chinese factories.

Apple says it will not meet financial targets.

And although facilities have reopened, production is taking longer than expected to get back underway as millions of people are still in lockdown in China’s major cities.

China accounted for 15% of Apple’s revenue last quarter. Analyst Daniel Ives said: “The magnitude of this impact to miss its revenue guidance midway through February is clearly worse than feared.”

And Norihiro Fujito, of Mitsubishi UFJ Morgan Stanley Securities, added: “If Apple shares were traded cheaply, that might not matter much.

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“But when they are trading at a record high, investors will be surely tempted to sell.” Apple stores in China are currently
either operating at reduced hours or closed completely.

But a spokesman said it is planning on reopening shops “as steadily as it can.”

It comes the number of confirmed cases rose to 72,436 with 1,868 deaths.

Among the victims was Wuhan health chief Liu Zhiming who had mobilised resources of his hospital during the outbreak.

The People’s Bank of China is said to have started to disinfect hundreds of millions pounds of cash.

Beijing’s Central Bank is taking the drastic action on notes from areas known to be infected.

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