Technologies

Apple warns of more supply chain woes after iPhone 13 drives revenue surge

The tech giant’s financial disclosures follow the release of new Mac computers, iPads and the iPhone 13.

Apple warned on Thursday that it continues to struggle with supply chain disruptions as it ramps up for an expected holiday shopping crunch following the release of its iPhone 13, new iPads, Apple Watches and Mac computers.

Apple said that iPhone sales jumped nearly 47% in the three months ended Sept. 25, as consumers snatched up the new iPhone 13. But Apple said its sales could have even been higher if not for the continued spread of the coronavirus pandemic, which has disrupted businesses across the globe. For Apple that led to a more limited number of products it could make and ship to customers.

Apple CEO Tim Cook said the company missed out on as much as $6 billion in revenue as a result of constrained supplies, primarily driven by silicon chip shortages and manufacturing disruptions. «We are optimistic about the future, especially as we see strong demand for new products,» he told analysts on a conference call.

Still, even though the company expects supply constraints to continue through the holidays, CFO Luca Maestri said he expects Apple to set new sales records during the holiday shopping season.

Apple’s financial disclosures add to a growing tapestry of information about the world economy amid the pandemic. The pandemic upended what turned out to be fragile supply chains around the globe when it ripped through manufacturing and shipping hubs at the beginning of last year. Now, as the holiday shopping season begins, questions remain about potential supply shortages.

In response, large retailers such as Target, Best Buy, Amazon and even Macy’s have begun rolling out early Black Friday deals before Halloween in an effort to draw people to shop now.

As for Apple, many of its newly launched products are already on back order, with the company quoting shipping times for new iPhones into November and new Macs into December. That all speaks to how much Apple’s struggled to keep up with demand.

It also likely helps that Apple’s fiscal fourth quarter included launches for highly anticipated products, including a more rugged $399 Apple Watch Series 7, updated $329 entry-level iPad, and redesigned $499 iPad Mini. The biggest release though was the series of iPhone 13 models, starting at $699.

The company said it tallied $38.8 billion in iPhone sales, up from $26.4 billion the same time a year earlier. Some of that can be attributed to quirks of the calendar. Apple released its iPhone 12 last year a few weeks later than usual, and as a result, its iPhone sales took a hit. This year, Apple stuck to its typical schedule of releasing new iPhones in September.

All told, Apple said it notched profits of $20.5 billion, up 62% from the same last year. That translates to $1.24 per share in profit, off $83.36 billion in overall revenue, which itself was up more than 28% from the $64.7 billion reported last year. But it was below analysts’ average estimates, which were $1.24 per share in profits on nearly $84.9 billion in revenue, according to surveys published by Yahoo Finance.

«It’s difficult to predict COVID,» Cook said. He added that he believes Apple’s still in a «materially better» position than it was earlier this year.

Apple’s stock closed regular trading up 2.5% to $152.57 per share. The stock’s risen nearly 18% so far this year, valuing the company at more than $2.5 trillion.

Supply shortages

The tech industry’s supply issues stretch back more than a year. Initially, industry executives said, many companies lowered orders for products out of fear for decreased demand when the pandemic was just starting last year. That, mixed with waves of illness and manufacturing shutdowns, led to supply shortages as people ramped up online shopping.

Chip shortages have extended well past the tech industry too. It’s kept Sony from being able to produce enough of its PlayStation 5 consoles to meet demand. But it’s also kept Ford from being able to make its F-150 trucks.

Apple’s Cook said that most of the supply shortages it’s facing are among older chips, though the company didn’t say which products or chips in particular it’s referring to. But he did say that getting enough newer chips isn’t as much of an issue.

«What we’re doing is working with our partners, and making sure that they have supply,» he said. Apple’s reworked some of its manufacturing, he added, to have as many products ready for chips as possible. That way, a chip can roll off the manufacturing line, into a product and shipping «as fast as possible.»

By the numbers

Apple said it set a record for Mac sales at nearly $9.2 billion, up slightly from the $9 billion a year earlier, despite the struggles it’s faced to get products to customers.

Apple said its success is primarily driven by the company’s new M1 chips, microprocessing brains designed by the teams that work on the iPhone. These chips, which were first released last year, have been well received by reviewers, who say they’re able to perform well when compared to previous Mac computers. Apple had relied on Intel chips to power its computers for about 15 years.

«After nearly a year, I can say the Intel-to-M1 transition has been relatively smooth,» CNET reviewer Dan Ackerman wrote of the new Mac computers. «The best thing I can say about the M1 chip is that it’s largely transparent to the everyday MacBook Air user, which is exactly what you want from a big under-the-hood change like this.»

Apple’s iPad sales jumped 21% to $8.2 billion. Its segment called «wearables, home and accessories,» which includes the HomePod Mini and Apple Watch, jumped more than 11% to nearly $8.8 billion. Services revenue, including from the company’s $5-a-month Apple TV Plus service, rose 26% to nearly $18.3 billion.

Apple said nearly a third of its revenue now comes from developing countries. Sales in Greater China nearly doubled to $14.5 billion from the year earlier, while sales in the Americas jumped 20% to $36.8 billion, Europe rose 23% to $20.8 billion, and Japan ticked up 19%. Revenue from the rest of Asia Pacific rose 25% to $5.2 billion.

Technologies

Today’s NYT Mini Crossword Answers for Thursday, Dec. 4

Here are the answers for The New York Times Mini Crossword for Dec. 4.

Looking for the most recent Mini Crossword answer? Click here for today’s Mini Crossword hints, as well as our daily answers and hints for The New York Times Wordle, Strands, Connections and Connections: Sports Edition puzzles.

Need some help with today’s Mini Crossword? 1-Across stumped me until I filled in some more letters. Read on for the answers. And if you could use some hints and guidance for daily solving, check out our Mini Crossword tips.

If you’re looking for today’s Wordle, Connections, Connections: Sports Edition and Strands answers, you can visit CNET’s NYT puzzle hints page.

Read more: Tips and Tricks for Solving The New York Times Mini Crossword

Let’s get to those Mini Crossword clues and answers.

Mini across clues and answers

1A clue: Butterfingers
Answer: KLUTZ

6A clue: Letter before beta
Answer: ALPHA

7A clue: Like «ad hoc» or «ad hominem»
Answer: LATIN

8A clue: Prestigious university in Atlanta
Answer: EMORY

9A clue: Word drawn out in speech before «… they’re off!»
Answer: AND

Mini down clues and answers

1D clue: Dinosaur ___, vegetable so-named for its bumpy green texture
Answer: KALE

2D clue: Animal in a Peruvian herd
Answer: LLAMA

3D clue: Sinclair who wrote «The Jungle»
Answer: UPTON

4D clue: Base that’s 90 feet from home
Answer: THIRD

5D clue: Wild and funny
Answer: ZANY

Don’t miss any of our unbiased tech content and lab-based reviews. Add CNET as a preferred Google source.

Technologies

Prices Set by Algorithms: New Yorkers Now See Warnings About Stores Using Personal Data to Set Costs

This new law, already subject to lawsuits, lets shoppers know when companies are quietly raising online prices for certain types of customers.

Online shoppers in New York are now seeing a new warning on product pages thanks to consumer protection legislation that took effect in early November. Particularly noticeable during Black Friday sales were messages that told shoppers: «This price was set by an algorithm using your personal data.»

This piece of legislation requires companies (with exceptions for rideshare apps) to show buyers when they use surveillance pricing to set online prices, potentially raising costs for some people while lowering them for others.

Don’t miss any of our unbiased tech content and lab-based reviews. Add CNET as a preferred Google source.

So what data are these companies collecting to shift prices? Well, unlike surge pricing, this type of algorithm pricing calculates data related to the individual person or device. That could include the type of device (Android versus iPhone, etc.), your account’s browsing history, recent purchases made from that browser and — most importantly — your location.

In other words, reported examples have shown that items like eggs will increase in cost for wealthy neighborhoods while staying at lower standard costs for less prosperous zones. But it can get far more complicated than that: Some pricing algorithms study millions of online purchases to predict buyer patterns.

A representative for the New York Senate didn’t immediately respond to a request for comment.

Is surveillance pricing legal?

So far, yes. What laws like this New York legislation do is enforce transparency about what may be affecting prices, instead of banning it. And even that was too much for business groups, which immediately sued to block the law in federal court, alleging that it violates the businesses’ First Amendment rights.

It’s not clear whether companies are complying with the law as directed, or what it fully entails, either. The bill requires «clear and conspicuous disclosure» near the price, but some companies appear to be putting the information in a harder-to-spot area behind an information icon at the bottom of a pop-up.

Efforts to control pricing via algorithm

New York isn’t the only state to tackle surveillance pricing. Other states and cities are entertaining similar legislation, as well as complete bans on the practice. But it’s an uphill battle due to the many details and strong pushback from, well, every industry that sells products online.

The most recent example was from September, when California’s congress went through its proposed ban on surveillance pricing and cut out nearly everything. In its current state, the California law would only apply to grocery prices, which is still not a common online purchase. Colorado, Illinois and other states are also working on their own versions of related laws.

The question of whether shoppers would appreciate transparency laws, or whether they’d be less likely to purchase products if they knew the price was based on their personal data, is tough to answer (what if the algorithms are giving you a lower price than other nearby shoppers?). But the privacy question has a more far-reaching impact: Once shoppers see how much of their personal data is being harvested for pricing, they may start to wonder what else it’s being used for.

Technologies

Spotify Wrapped Is Live, Try the Buzzy New Party Game

Wrapped Party and your listening age are the big new features of the music streamer’s yearly wrapper.

Music streaming service Spotify has unveiled new features in its 2025 Wrapped listener recap, including a party game and the most popular albums, at an event in New York City.

Spotify Wrapped is one of the biggest events in the year’s music calendar, and 2025 promises to be even bigger, thanks in part to the new game. Wrapped Party is Spotify’s first multiplayer game included in Wrapped, allowing you to compete against up to nine friends with questions based on your listening habits.

Also read: Best Music Streaming Services

Matthew Luhks, Spotify’s senior director of global marketing, said the new game is the Wrapped feature he’s most excited about.

«I think Wrapped Party is amazing, and it’s something we’ve been talking about for years. Wrapped is usually a solo experience, and now you can play Wrapped with your friends and your family,» Luhks said at the event.

Wrapped Party is one of almost a dozen new features for the company’s viral wrap-up, which also includes your Listening Age (giving this writer an age of 100!) and Top Artist Sprint, which shows your favorite artist listens «racing» over twelve months. This year is also the first time that the recap highlights a user’s most popular albums.

Read more: Spotify Says I Have the Music Taste of a 79-Year-Old: Is That Bad?

Meanwhile, the new Clubs feature assigns you, Harry Potter sorting hat-style, to one of six fan clubs based on your listening and designates you a role such as «Archivist.»

As with every year, the company also revealed its most popular content across all categories for 2025. After six years in a row, it was no surprise that Joe Rogan had the platform’s most popular podcast, but the biggest upset was when Bad Bunny pipped Taylor Swift for most popular global artist. However, Swift was the most popular artist in the US for 2025.

Other popular categories included:

Global top song: Die With A Smile by Lady Gaga & Bruno Mars
Global top album: DeBÍ TiRAR MáS FOToS by Bad Bunny
Top Audiobook in Premium: Fourth Wing by Rebecca Yarros

To access Spotify Wrapped, look for the Wrapped feed on the Home tab. To find Wrapped Party, just search for it in Spotify or access it at the end of your personalized wrap.

In 2025, almost every streaming service has its own yearly stats roundup, including YouTube’s new Recap feature, but Spotify Wrapped is still arguably the most famous.

Spotify is the most popular music streaming service, with over 100 million tracks, and it currently costs $12 a month for Premium (including audiobooks). The company is rumored to be planning a price increase in early 2026, however.