- The Global System for Mobile Communications Association (GGSMA) canceled the world’s biggest phone show – Mobile World Congress.
- The disheartening news comes after spreading deadly disease coronavirus which seems to be uncured for the time being.
Even before we begin discussing the news, we are very well aware of coronavirus and its deadly effects. Deadly effects are not only lingering in China’s streets but slowly it has started to affect its economy as well.
Baffled to know how a disease is adversely affecting the entire country? Well, let us take you through.
Effects of Coronavirus Outbreak:
We’ll discuss a number of cases and deaths later, but let us try and throw some light on how big the loss coronavirus outbreak has had in China’s economy.
Shutdowns are having a major impact on the world’s 2nd largest economy and global supply chains. Big carmakers now face the threat of a shortage of parts.
As the disruptions continue to linger in China’s economy, Apple Inc. continues to face supply shortages. Employees across China were ordered to remain in their homes due to the spread of the virus.
Foxconn is the major supplier to Apple Inc. is yet to reopen its largest Chinese factory. Shenzhen’s Longhua district, the place where Foxconn’s factory is located is yet to open. Due to the widespread coronavirus outbreak, the company is said to open its factory only when the entire area comes out clean from coronavirus.
“Our teams in each of our facilities in China are working closely with the respective local government agencies and we are continuing to do that as we implement our post-holiday schedules,” the company spokesperson said.
A number of automobile companies – Nissan and PSA – carmakers of Peugeot and Citroen brands have said their factories will remain closed until Friday. Volkswagen, BMW, Toyota & Honda also have said they are planning to restart Chinese production by next week.
MWC 2020 Also Withdraws:
World’s biggest phone show, Mobile World Congress is no longer taking place this year. After the coronavirus outbreak, the GSM Association (GSMA) which organizes the show, has now canceled it.
GSMA CEO – John Hoffman said the coronavirus outbreak has made it impossible to hold the event. MWC was scheduled to take place in Barcelona between 24th-27th February.
“With due regard to the safe and healthy environment in Barcelona and the host country today, the GSMA has canceled MWC Barcelona 2020 because the global concern regarding coronavirus outbreak, travel concern and other circumstances, make it impossible for the GSMA to hold the event. The Host City Parties respect and understand the decision. The GSMA and the Host City Parties will continue to be working in unison and supporting each other for MWC Barcelona 2021 and future editions. Our sympathies at this time are with those affected in China, and all around the world”
The GSMA is an industry trade body that represents more than 1200 companies across the mobile ecosystem, and MWC is the chance for thousands to gather for partnerships, deals, and product launches.
MWC 2020 was set to feature a big Chinese phone maker presence, with all of the country’s major smartphone brands set to appear at the show. LG smartphones pulled out of MWC earlier this month. ZTE canceled a planned press event due to the coronavirus outbreak.
Ericson – MWC’s largest exhibitors also withdrew from the show followed by Nvidia, Intel, Vivo, Sony, Amazon and NTT Docomo.
With the coronavirus outbreak, the entire country is disrupted. Not only everyday schedules, the healthcare sector is affected but the corporates are also suffering.
China is one of the largest economies in terms of manufacturing and production, a lot of other conglomerates are said to close their production units in the country.
Though as per data, daily reported cases of coronavirus outbreak have decreased but the fear still lingers in China’s economy and we are yet to see the post-recovery phase.