Japanese quake should make $200M hit on Apple revenue
updated 05:55 pm EDT, Wed April 20, 2011
Company says it will stick with Japanese partners
Apple should take a revenue hit of about $200 million as a result of last month's Japanese earthquake, says COO Tim Cook. Speaking during the company's Q2 results call, Cook said the company has a long history with Japan, and has been taking some actions to help in relief efforts. Suppliers have been affected as well, but the executive explains that Apple been "working around the clock" to institute contingency plans, and that there was no impact on Q2 and there should only be a small impact on Q3.
Cook notes that Apple receives hundreds of supplies from Japan, including resins, foils, LCDs and flash memory. In that regard the company plans to remain with long-term partners, despite many of them having difficulties operating as a result of damage or power brownouts. Connectors for the iPad 2, for instance, are temporarily being made by Taiwan's Cvilux.
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Drop in the bucket
It's like complaining Apple only made $24.2 billion instead of $24.4 billion.