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Apple Supply Chain Shortages: iPod Problems

The recent earthquake in Japan that saw a tsunami hit the coast of Japan has already had an effect on a number of product supplies. We are now hearing that there are Apple supply chain shortages, which has started to cause iPod problems. The popular media device uses lithium-ion batteries, and it is this part that has been affected.

The chemical used in the battery is made by Kureha, who supplies 70 percent to the world market had to close its plant, as a direct result of the tsunami and earthquake. WSJ learned from Bloomberg that the only way in which companies like this can survive is if they have more overseas operations, something that Kureha has already been looking into.

You have to wonder why other Apple productions have not been affected, although there were rumors that iPad 2 delays were a direct result of the disaster – which has since been rubbished by Apple. There were also delays of the original iPad when it was launched last year, so we have to assume that it is just that demand is higher than current stock.

The Apple iPod is not the first and will not be the last device to be affected by the earthquake in Japan. We also reported yesterday that production of cars were also hit hard, with the top three Japanese car makers taking the brunt of it.

How long will it be before Japan is fully able to recover from the devastation?



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