Apart from the tragic human suffering that the coronavirus has affected tens of thousands of people with, it is now a real problem in the computer industry too, to the extent that it will affect sales and production of tablet computers for at least Q1 to Q2 of 2020.
Some of the Chinese tablet brands have yet to even resume operation, while others are only limping by at the moment, though we must hope for good news to develop over the next weeks.
So some tablet launches will be delayed in the first two quarters of 2020, while other tablets will see shortage of supply. Anything from travel restrictions for employees that wants to return to work, to shortage of components, raw materials, business to business services, and related business operation shortages, are affecting many in the tablet computer industry right now.
There was a components shortage even before the virus outbreak, so the effect is felt across the computer production industry.
A report in Digitimes today also reports that tablet demand in China has gone up with people working and studying from home, to the extent that some tablet models have sold out, with iPads going for a premium right now because of these tablet shortages.
The iPad production facilities are reported as idling by at just a 30% capacity utilization this week, so we could see a shortage of iPads in western markets soon too.
– Tom Bowen