How is Coronavirus affecting Tech Industry?

China is the largest hub in manufacturing and supplying electronic products. Since China is the most affected country by the deadly outbreak, let’s talk about how is Coronavirus affecting Tech Industry.

Before diving into the Tech Industry, here are some important things about this virus that you should know.

According to the sources, there 37,591 identified Coronavirus cases on 09th January 2020. Out of these numbers, 6196 are in a critical condition and 814 people have died.

Coronavirus affecting Tech Industry

Out of all the victims, 37221 cases are from mainland China. This is the gravity of the outbreak.

Since China is the major exporter of electronic parts and gadgets, all the exports have been terminated.

Importantly, your smartphone might be Chinese as well. Chinese brands dominate the Indian market. So, it is the worst hit industry. Not only for India but for the world!

This is how Coronavirus affecting Tech Industry

The most important components that come from China are microprocessors and OLED/LCD panels.

As a result of closing the factories, there is a shortage of panels. Hence, OLED and LCD display panels for TVs, Smartphones, laptops, etc are about to get costly now.

Yes, you guessed it right. The cost of all electronic gadgets is going to shoot up soon.

Other than that, several factories will remain closed due to the outbreak. The main city is Wuhan where this virus had originated and several companies have their offices there.

So, these are the statements from all the major Tech Companies regarding the Coronavirus outbreak.

Tech Firms and Coronavirus

1. Google

Google has closed all of its offices in China mainland for an indefinite period of time and restricted business travels.

Also, Google collaborated with the World Health Organization (WHO) to create an SOS alert for Coronavirus.

Also, the company raised $800,000 from its fundraising campaign of to donate the Chinese Red Cross.

Overall, Google has done a lot for this outbreak. No wonder it has not been affected much because its businesses in China are limited.

Moreover, Google is not into physical products.

2. Apple

Apple seems to be the biggest loser in this outbreak.

Apple’s one of the biggest markets is in mainland China and it has been shut down for now along with all 42 stores. Corporate offices and contact centers are not working as well.

Apple Store in China

All 6 stores in Hong Kong will remain open.

However, the biggest blow to Apple is that the majority of the partners have stopped manufacturing their components. As a result, products won’t remain available.

  1. Apple AirPods are facing shortages; unable to fulfill the demand of 45 million AirPods.
  2. The upcoming iPhones might face some delay with its launch because Foxconn is the real manufacturer of iPhones and it has shut down.

The biggest mistake of Apple is that they didn’t diversify themselves by moving out of China and relied on one country. Some wise person once said: Don’t put all your eggs in one basket.

[Also Read: 7 Reasons why Apple Products are expensive]

3. Microsoft

Microsoft advised Chinese employees to work from home and cancel all nonessential business travels.

Moreover, Microsoft said that they will make a donation of $144,000 to the Hubei Red Cross Foundation to help with relief efforts in Wuhan and surrounding areas.

[Also Read: How Microsoft Makes Money?]

4. Amazon

Amazon has recommended that employees who have returned or will be returning from an affected Chinese province should work from home for 14 days.

If they experience any symptoms, they’ve been asked to get a medical consultation before returning to the office. 

According to the statement given to Business Insider, they have restricted the business travels of employees.

But I personally feel that they should stop the shipping of Chinese products for some days. I hoped for this but didn’t find any statement on this.

5. Facebook

Facebook is the least affected company in this outbreak. It was never allowed to penetrate much in China. So, it is among the safest companies.

The only loss that Facebook faced from this outbreak is that the supply of its Oculus Quest VR headset has slowed down. That’s it.

In the recent statement by Facebook, it pledged to delete all the posts related to Coronavirus that were misguiding in nature.

[Must Read: 10 Things to check for fighting Fake News]

6. Tesla

Tesla temporarily closed its new car manufacturing plant in Shanghai fearing the recent outbreak.

Model 3 will be delayed for an indefinite time.

7. Uber

Uber suspended the accounts of 2 drivers and 240 users in Mexico to prevent the spreading of Coronavirus.

Here is the official tweet by Uber that we won’t understand anyway because it is not in English.

I will tell in short: Uber said it suspended the accounts in Mexico because those 240 users had come in contact with two drivers possibly exposed to the virus.

[Also Read: Uber Driver Understands Uber Algorithm For His Benefits]

8. Airbnb

According to the recent blog post of Airbnb, it would offer the guests affected by Coronavirus to cancel the reservations without any penalty or cancellation charges.

This policy applies to the Wuhan area where the majority of the victims are present.

9. Asus

Asus released this tweet regarding the most popular and hyped phone – Asus ROG Phone II.

Coronavirus Affecting Tech Industry Events

Mobile World Congress (MWC) is one of the major upcoming events for all the tech firms to display their upcoming products and innovations.

So, it is important for all companies. However, many of the companies are turning away from this event.

Prominent companies like LG, ZTE, Nvidia and Erricson have stated the reason for not appearing at the MWC to be the outbreak of Coronavirus.

Official Statements by Technology Companies Regarding MWC:

1] Ericsson: Ericsson withdraws from MWC Barcelona 2020

2] Nvidia: Update on MWC Barcelona

3] LG: Statement Regarding LG Electronics’ Participation in Mobile World Congress (MWC) 2020

4] ZTE: Cancelled Press conference at MWC but other scheduled activities would take place as planned


After I wrote this blog post, more companies backed off from Mobile World Congress (MWC). Here is the updated list:

  • Amazon
  • TCL
  • Sony
  • Facebook
  • Intel
  • Vivo
  • Mediatek
  • Nokia
  • HMD
  • Cisco

Finally, Mobile World Congress (MWC) 2020 has been officially canceled by GSMA over Coronavirus Fears on 13th February 2020.

Overall, we all wish that this outbreak of Coronavirus ends sooner with proper treatment and solution.

Not only the tech industry but the whole human race is getting affected by this virus.

I hope the same technology industry will come up with a solution to treat and control this virus.


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