The effect of COVID-19 on Technology supply chains. Companies covered include: Apple, Microsoft, HP, Dell, VMware, CDW and FLEX.
Shannon gave an update on business conditions in China which are returning to normal with capacity utilisation ranging from 80% to 100%. 5G is being rolled out across the region. Their recent conversations with PC OEMs indicate very strong demand. Retail stores in the US are selling out of notebooks and displays which drive higher margin. Expects continued strength in PCs through the year. Shannon also detailed her change in Apple’s revenue forecast from China demand, the supply chain, Japan slowdown and US/Europe demand, all negative. The positives are from iPad demand and Services but do not outweigh the negatives.