Foxconn Electronics is now tasked with producing more of Apple’s iPhone XR devices. Originally, rival Pegatron was supposed to produce 5o to 60 percent of the LCD-based handsets. Capacity constraints and delayed shipments of critical components lead to the change, according to DigiTimes.
Under the new plan, Apple’s No. 1 manufacturer, Foxconn is expected to produce up to 75 percent of the iPhone XR models with Pegatron picking up the rest. Factors for the switch include a lower-than-expected yield rate and a shortage of Pegatron workers in China.
First announced earlier this month alongside the iPhone XS and iPhone XS Max, the iPhone XR has long been rumored to be suffering from production issues due to its edge-to-edge LCD screen.
Back in June, for example, a report from the South Korean publication The Bell said development of the LCD was two months behind schedule. It said suppliers Japan Display and LG Display needed more time than expected to secure yields. In late July, Morgan Stanley’s Katy Huberty, a noted Apple analyst, said the device’s near bezel-free design was the reason for the delay.
Interestingly, the problem with LCD might not be a hardware issue.
As Ryan Reith, IDC’s vice president of research on mobile devices told The Verge, “Everything we’ve been hearing, it’s been an issue on the software side. There’s a lot of software involved with the LCD screen, as it’s the first [LCD display] with a notch and full screen.”
Meanwhile, Canalys senior analyst Ben Stanton said to The Verge, “Apple would not delay the launch of iPhone XR for any reason other than the device is not ready to be shipped at adequate volume.” He continued, “The constraint with the device is around the new LCD display, which has bottlenecked production.”
Pre-orders for the iPhone XR start on Friday, Oct. 19 with the first orders arriving one week later on Friday, Oct. 26. So far, those dates haven’t been changed.
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