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Apple stopped production of its M2 processors since January due to low demand: Reports

According to a report by The Elec, Apple has reportedly halted production of its custom M2-series processors which are used in MacBook Pro, Mac Mini, and MacBook Air models.

The report suggests that Apple’s production partners, TSMC, did not send wafers for 5nm M2 chips in January and February because Apple requested that production be stopped due to low demand for MacBooks.

This could suggest that Apple may not be releasing updated MacBook models anytime soon, or that they are looking to switch to a different processor for their Mac line-up. However, there has been no official statement from Apple regarding the matter.

The wafer-based products that TSMC sends to Amkor Technologies for packaging were not received in those months, as reported by The Elec, a Korean publication. Production of the M2 chips resumed in February, but at only half the units compared to the previous year.

MacRumors reported that Apple experienced a 5% year-over-year decline in the first quarter and also saw lower revenue across Mac and wearables. This was because there were no new Mac models offered by the end of 2022.

Tim Cook, the CEO of Apple, acknowledged that the PC market was “challenging” for the company, but that despite its “low share,” it still had “a competitive advantage with Apple silicon.”

It will “be a little rough in the short term,” Cook cautioned investors.

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