Broadcom hints that Apple will release iPhones later this year

Broadcom hinted in its quarterly earnings review that Apple is releasing its iPhones later than usual this year. Broadcom, which supplies Wi-Fi chips to Apple, has expressed its expectation that its increase in sales this year will be later than previous years.

Broadcom does not mention Apple’s name, but in the webcast of the discussion of the quarterly figures, which can also be read via SeekingAlpha, it is clear which company is involved. “In the coming quarter, we would normally expect solid growth from the next phone sales from our major North American mobile phone customer,” said CEO Hock Tan.

In a question from an analyst, he goes into more detail. “The question is timing. In recent years we have seen sales increase after Q2. We believe that due to product cycle delays, the trough in our sales will be in Q3 this year.” That the sales increase is a quarter later indicates that Apple needs the chips between a few weeks and three months later than usual. Apple has released its iPhones in mid-September in recent years. Some models appeared later: the iPhone X came out in early November 2017, while the XR came out in October 2018.

Broadcom has been supplying Wi-Fi chips for iPhones to Apple for years. There have been rumors before that Apple would like to postpone the release of its iPhones, but it is not before that a supplier spoke about it. The quarterly figures of suppliers have often seen trends at Apple. For example, a number of suppliers issued a sales warning when deliveries of the iPhone XS generation turned out to be disappointing.