The update came as many firms warn about a sharp economic slowdown, especially in the tech sector which boomed during the pandemic. He blamed the sale

Apple sales in biggest fall since 2019

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2023-02-03 22:00:04

The update came as many firms warn about a sharp economic slowdown, especially in the tech sector which boomed during the pandemic.

He blamed the sales decline on supply shortages due to Covid-19 disruption in China - where its phones are manufactured - and a strong dollar, as well as wider economic weakness stemming from rising prices, the war in Ukraine and lingering effects from the pandemic.

"As the world continues to face unprecedented circumstances ... we know Apple is not immune to it," he said on a conference call with investors.

Roger McNamee, founding partner of Elevation Partners, told the BBC's Today programme that the biggest issue facing Apple was its supply chain in China.

"China has taken a more combative approach with Western economies over the past year and a half, partly due to their zero tolerance on Covid but I think there are other geopolitical issues factoring in as well and Apple, which has historically done the vast majority of its manufacturing in China, has had supply chain issues," he said.

"It is unclear to what degree Apple may have demand problems. It is super-clear they can't get all the supply that they want to get."