Apple is already facing production issues because of the pandemic. This is likely to result in the delayed launch of the iPhone 12 series this year. And if that wasn’t enough, a new report brings a worrying forecast for the company. As per renowned analyst Ming-Chi Kuo, iPhone demand could fall because of the WeChat ban in the US. Also Read - Apple iPhone 12 likely to support BeiDou navigation system
US President Donald Trump issued an executive order against Tencent and ByteDance. This meant, no US company can partake business with these brands. And this action impacts WeChat users. Kuo says, if the ban goes on for a long time, Apple is going to see a drop in global iPhone shipments later this year. The demand is likely to fall by up to 30 percent, and Apple will not be pleased with such an impact. Also Read - Apple could launch iPhone 12 series in two phases this year
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The decline will happen because of WeChat ban in the US, used by billions of users around the world. And if Apple was asked to remove WeChat from its app store for all countries, that will directly affect users in China. With a huge chunk of its revenue coming from China, Apple understands the importance of the country. Also Read - Apple buys startup that converts iPhone into payment terminal
“Since WeChat is very critical to Chinese users, integrating communications, payments, e-Commerce, social software, news reading, and productivity functions, we believe that the move will tank iPhone shipments in the Chinese market, ” Kuo said in a research note. So, Apple would be hoping the WeChat ban is limited to the US.
Apple iPhone 12 likely to support BeiDou navigation system
New reports suggest the company is finally going to support local navigation system with the iPhone 12. Ran Chengqi, Spokesperson and Director – China Satellite Navigation Office, BeiDou was quoted saying, “Apple will use the BeiDou navigation system sooner or later…”. Now it would be hard to confirm anything basis on that statement. But there’s another update which suggests Apple is testing support for BeiDou with the upcoming iPhone series. The lack of support for BeiDou has resulted in complaints by iPhone users in China. So it’s possible Apple might finally hear their wishes.