By Nivedita Balu

(Reuters:) Apple Inc’s victory over the global chip supply-chain shortfall has been a positive sign amid turmoil in markets worldwide.

Analysts say not.

Three months ago, the iPhone manufacturer warned that shortages would impact its holiday quarter revenue. On Thursday, it posted records thanks to sales of premium iPhones. The company sees an improvement in the situation, even if there are still shortages.

Bob O’Donnell (chief analyst, TECHnalysis research) stated that “most of the supply-constrained problems are over”

From electric carmaker Tesla (NASDAQ) Inc to wafer manufacturing equipment supplier Lam Research, (NASDAQ) they have again warned that supply chain problems, which had already crippled many industries, will continue to restrict production.

Because of its huge buying power and high demand, Semiconductor firms tend to favor larger players like Apple. They also appreciate Apple’s custom-order capabilities for parts used in their products. The chip manufacturers are attracted to Apple’s expensive high-end chips.

Apple can therefore procure components much quicker than other companies.

Lou Miscioscia from Daiwa Capital Markets, an analyst at Daiwa Capital Markets, stated that Apple received better service than others for sophisticated chips but had issues with old technology chips.

Apple iPads’ chips, which experienced a 14% decline in revenues, are made of chips using older technology. Apple Chief Executive Tim Cook explained to analysts that there were limited supplies of older chips.

Cook stated that the restrictions on older chips or nodes were significant during the holiday quarter. Cook stated, “Overall we see a improvement in the March Quarter in terms of constraints going down versus the December quarter.”

Elon Musk, Tesla CEO said that the supply chain issues would affect all factories. Analysts were told by Musk that “the chip shortage”, while improving over last year, remains a problem.

Lam Research, a manufacturer of semiconductor equipment noted that there were new supply issues. The Omicron surge caused more disruption in freight and logistics. A few weeks into the year 2022, Lam Research stated that it had been experiencing scarcity in some components and parts including semiconductors.

Market leaders and analysts in the semiconductor industry hoped that supplies would improve later in the year.

Romeo Alvarez of William O’Neil + Co. technology analyst stated, “That’s still going to be a concern in the industry. But Apple may not be the exception.”