Production

WSJ: Foxconn rival Pegatron is primary budget iPhone manufacturer

We first heard from The New York Times that the world's top contract manufacturer Foxconn is looking past the iPhone amid Apple's slowing growth. Reuters previously ran an anti-Apple piece which asserted that Tim Cook & Co. are looking to shift from Foxconn to rival Pegatron, which currently builds the older iPhone 4/4S models.

On Monday, The Wall Street Journal ran a story claiming Foxconn is looking to manufacture, market and sell its own mobile accessories compatible with iOS devices. Moreover, the story goes, Foxconn is said to be expanding its high-margin retail operations and investing in content and services.

Today, the Rupert Murdoch-owned newspaper sheds more light on the subject, claiming Cook has re-shuffled Apple's supply chain and re-iterating that Pegatron will be the "primary assembler" of Apple's rumored low-cost iPhone, which the Journal expects to be offered "later this year"...

Apple going back to Samsung as LCD panel supplier

It appears that the bad blood between Apple and Samsung isn't enough to keep the two from working together. Despite previous reports that the iPad-maker is trying to distance itself from its rival, it has reportedly returned a large chunk of its LCD panel business back to Samsung...

Apple said to move from Foxconn to Pegatron

Hon Hai Precision Industry aka Foxconn, Apple's contract manufacturer of choice and the world's largest product assembler, is under threat to losing orders to rival Pegatron, which has been building older Apple products Like the iPhone 4S and 4.

According to a new Reuters report, Pegatron "wants to grab more orders to assemble the fast-selling iPhone and iPad." And in order to achieve this self-imposed goal, the Taiwanese manufacturer, which also builds the iPad mini, is reportedly ready to offer "more competitive pricing," even if it has to sacrifice its margins. The news gathering organization reports that Pegatron "appears to be succeeding" in pulling in more orders from Apple...

Pegatron ramping up hiring for budget iPhone production?

Just a day after contract manufacturer Pegatron warned investors its second-quarter earnings could drop up to 30 percent due to softening demand for iPad mini, other tablets, e-books and games consoles comes word that the company has ramped up hiring as it needs an additional 40,000 workers on top of its existing 100,000 employees.

The 40,000 additional workers are needed to presumably assemble a rumored less-price iPhone model for Apple, Reuters speculated Thursday, reiterating it heard from suppliers that Apple is indeed "developing a cheaper model of the phone" in order to broaden its sales base to lower-income buyers in growth markets such as China and India...

Pegatron sees softening iPad mini orders

In another sign of consumers postponing purchasing iPad minis in anticipation of a second-generation model, said to sport Apple's high-resolution Retina display, contract manufacturer Pegatron has cautioned investors Wednesday to brace themselves for as much as a 30 percent revenue decline when it reports second-quarter earnings, the most since a 37 percent decline in the fourth quarter of 2011.

Although Pegatron assembles Apples' iPhone 4S and iPad mini, the Taiwanese corporation also acts as a contract manufacturer for consumer electronics from other makers. But as Apple is one of its principal clients - and given Apple's high-volume needs - Pegatron attributed the decline to shrinking iPad mini orders...

Sharp expected to begin iPhone 5S display production in June

Earlier this year, it was believed that the iPhone 5S would go into production in March ahead of an early summer release. But after rumors of manufacturing issues began to circulate, the handset's expected arrival time was pushed back to the fall.

And a new report out of the east this morning corroborates that theory. A Japanese newspaper is reporting that Sharp, one of Apple's primary panel partners, is gearing up to begin mass production of LCD displays for the iPhone 5S next month...

iPad mini 2 Retina screens reportedly entering mass-production next month

NPD DisplaySearch is on a roll. After reporting yesterday that Apple could release two Retina-enabled iPad mini models - one in the second half of this year and another in the first quarter of 2014 with an updated processor, the display market researcher tell CNET today they think those high-resolution Retina panels for the second-generation iPad mini could go into mass-production soon, as early as June or July of this year.

If true, and assuming satisfactory yield rates, Apple should be able to ready its first Retina iPad mini for a Fall introduction, a time frame KGI Securities' well-informed analyst Ming-Chi Kuo recently outlined based on his own sources...

Apple manufacturer Foxconn looks past iPhone, anticipates iTV orders

Hon Hai Precision Industry - better known in the Western world as Foxconn - is the world's top manufacturer of consumer electronics. And with Apple products - the iPhone in particular - accounting for at least 40 percent of its revenue, the contract manufacturer's fortunes are tied to Apple's.

Needles to say, the company's leadership never complained about relying on Apple so much as long as sales were growing substantially. But with Apple's growth cooling off amid a broader sales lull affecting pricey high-end smartphones like the iPhone, Foxconn is now looking to lessen its exposure on the Apple smartphone and is apparently gearing up for a mass-scale production of an Apple-branded television set, the rumored iTV...

Apple reportedly returned 5-8M iPhones to Foxconn due to quality issues

When Apple introduced the iPhone 5 last fall, it made sure to mention its complex manufacturing process. "Never before have we built a product with this extraordinary level of fit and finish," Jony Ive said during a video on the handset.

The extra effort has obviously paid off, as the iPhone 5 has been very popular with consumers. But it's also causing problems for Foxconn, Apple's manufacturing partner, who continues to struggle with the device's intricate production methods...

Technical challenges delaying iPhone 5S, budget iPhone, iPad mini 2?

KGI Securities analyst Ming-Chi Kuo, who actually has a pretty good track record in predicting Apple's product plans, has some bad news for Apple fans. In a note issued to clients Thursday, he basically wrote that Apple's next batch of iDevice upgrades may hit the market later than originally expected due to a number of "technical challenges" related to the inclusion of fingerprint sensor beneath the Home button.

The rumored budget iPhone may be delayed because its slimmer-than-usual polycarbonate casing is proving harder nut to crack, while the second-generation iPad mini continues to face challenges with its high-resolution Retina panels. Jump past the fold for the full disclosure...

Supply chain report says production of 5th gen iPad to start in July-August

As we move into mid-April, the odds of seeing Apple unveil a new product this spring continue to dwindle. It feels like we're getting close enough to its June developer conference, that any major announcements could wait until then.

There is, however, still a rumor floating around that Apple has plans for an iPad event later this month. But according to a new supply chain report, that's not going to happen, as 5th gen iPads won't go into production until the summer...

WSJ: Apple ramping up production for new iPhone this quarter

We've heard an unusual amount of chatter regarding the next generation iPhone over the past few months. Especially since the iPhone 5 just launched 6 months ago. But folks seem pretty certain that Apple's next smartphone isn't too far off.

And a new report out this morning echoes that sentiment. Citing "people familiar with the device's production," The Wall Street Journal claims that Apple is ramping up production of its new iPhone this quarter ahead of a likely summer launch...