Mac demand plunges, Apple stops production of M2 chips

According to a source from South Korea, Apple has stopped production of its M2 chip line from the beginning of 2023, which is attributed to a drop in global demand for MacBook lines.

According to Elec’s sources, due to facing a decline in Mac sales amid the severe PC market downturn, from January 2023, Apple has completely stopped production of the M2 series of custom processors. its new MacBook Pro and Mac Mini lines, as well as the latest MacBook Air.

According to industry sources, chipmaker TSMC did not send 5nm process wafers to an outsourced semiconductor package test (OSAT) company in January and February. So many people think it’s because Apple ordered to stop production when demand for MacBooks dwindled.

The final stage of TSMC’s manufacturing process is done by sending the treated wafers to Amkor Technology’s South Korean factory for packaging, the report said. However, in January and February, no TSMC products were sent to the company, forcing the company to stop supplying chip packaging materials.

The shutdown of M2 chip production was allowed to last until February, then resumed but with output only “half of last year”, the Korean news agency said, according to a source from a relative. close to the event.

Apple’s first-quarter revenue fell about 5% year-over-year, a steeper-than-expected drop than analysts had anticipated as Apple grapples with supply issues for the iPhone and also faces with a decline in demand for Macs and wearables.

iPad sales grew 30% thanks to the launch of a new line of iPads powered by the M2 chip, but Mac revenue dropped significantly when there were no new devices launched in the final months of 2022. In the last quarter, sales Mac revenue was only $7.7 billion, significantly down from $10.9 billion in the same period last year.

The M2 chip was introduced by Apple in June 2022, when it appeared on the new 13-inch MacBook Pro and MacBook Air lines. By January 2023, Apple will add new variants of this chip family with the M2 Pro and M2 Max for the 14-inch and 16-inch MacBook Pro models, and add the M2 and M2 Pro chips to its Mac Mini models. me.

However, according to Bloomberg reporter Mark Gurman, it seems that an iMac version with an M2 chip is not in Apple’s plans and there is no information about a new version of the Mac Studio line of Mac Studio using M2 Max or M2 chips. Ultra.

Refer to MacRumors