Strong iPhone 13 demand in Taiwan and China has led Taiwanese component suppliers to prioritize production lines for Apple over rival Samsung and many Chinese mobile vendors, according to a new DigiTimes report.
Taiwan-based makers of VCMs (voice coil motors), wire winding and other components of smartphone-use lens modules are giving priority to production for Apple, amid strong pre-sales of iPhone 13 series in China and Taiwan, according to industry sources.
The report states that Samsung’s third-quarter sales this year fell short of expectations, while Chinese smartphone vendors including Oppo, Vivo and Xiaomi have high inventory levels of components.
Apple’s iPhones have reportedly taken over a large portion of Huawei’s original market share since it was hit by U.S. sanctions, and Taiwan’s component makers have high hopes for the iPhone 13 series.
Analyst reports suggest iPhone 13 orders have seen strong early demand, with minimal near-term component headwinds for the devices suggesting lengthy delivery estimates are a result of high demand rather than low supply.
Apple is looking to boost initial production of this year’s iPhone 13 models to 90 million units through the end of the year, an increase of up to 20% over the 75 million units of the iPhone 12 series produced last year, according to Bloomberg.
China in particular has seen major interest in the latest iPhone launch, which in one case apparently caused a stampede as people rushed a shopping mall to purchase one of the devices.
Top Stories
iPhone 13 Pro Pre-Orders Off to Promising Start With Strong Early Demand, Says Analyst
While it has been many years since Apple stopped providing first weekend sales numbers for new iPhones, Morgan Stanley analyst Katy Huberty today said that iPhone 13 Pro pre-orders are “off to a promising start” with “strong early demand.” Huberty based her opinion off of Apple’s delivery estimates for iPhones, which she has been tracking for many years. Shortly after pre-orders began last…
Apple Brings China’s Luxshare Precision into iPhone 13 Supply Chain to Meet Production Targets
Apple is tapping more Chinese suppliers as it seeks to meet ambitious targets for iPhone 13 production, according to a new report by Nikkei Asia. Apple is set to produce between 90 million and 95 million iPhones through January, according to a previous Nikkei report, and China’s Luxshare Precision Industry has won 3% of orders away from Taiwanese rivals Foxconn and Pegatron. Luxshare will…
iPhone 13 Reportedly Having Production Issues, Leaving Customers to Face Prolonged Delivery Times
The newly launched iPhone 13 and iPhone 13 Pro are apparently hitting a snag in production, mainly due to a new wave of health concerns and limited manufacturing capacity for the devices’ camera systems in Vietnam, according to a new report from Nikkei Asia. The iPhone 13 mini, iPhone 13, iPhone 13 Pro, and iPhone 13 Pro Max all feature sensor-shift optical image stabilization, a feature…
Apple Supplier Luxshare Reports Record Growth After Securing iPhone 13 Orders
Apple supplier Luxshare has reported record revenue and profit in the first half of 2021, thanks largely to the Chinese assembler’s increasing involvement in Apple’s supply chain. From a new report by Nikkei Asia: The Guangdong-based company sometimes called “Little Foxconn,” which has been deepening its relationship with Apple and is assembling iPhones for the U.S. technology giant for the …
Apple Shuffles Suppliers for Periscope Telephoto Lens in 2023 iPhones
Apple hopes to circumvent Samsung in the supply of components for a “folded” telephoto lens for 2023 iPhones, according to unnamed sources cited by Korean website The Elec. The report claims Apple has approached Jahwa Electronics, which is part of Samsung’s supply chain, to supply an optical image stabilization module for the camera. Jahwa co-developed the technology with Samsung, which…
Apple Suppliers Struggling to Hire Enough Workers Ahead of iPhone 13 Launch
Apple suppliers manufacturing the iPhone 13 models are struggling to hire enough workers ahead of the expected launch of new devices in September, according to the South China Morning Post. In an attempt to attract workers to meet demand for the iPhone 13 lineup, Apple suppliers in China are significantly raising their starter bonuses. Foxconn’s factory in Zhengzhou, which is estimated to…
Apple Producing AirPods 3 in China Instead of Vietnam Due to Pandemic Disruption
Apple has been seeking to add geographic diversity to its supply chain for some time, with a shift of some production of the AirPods lineup to Vietnam being one significant step for the company. Apple reportedly began trialing production of regular AirPods in Vietnam over a year ago, and it was reported in December that Apple’s AirPods suppliers were looking to line up financing to…
Apple’s Orders for Key iPhone 13 Camera Component Expected to Outstrip Entire Android Market
Major camera upgrades coming to the iPhone 13 series are putting increased pressure on suppliers to meet Apple’s demand for key lens components, according to a new DigiTimes report. Apple has reportedly put Taiwan-based makers of voice coil motor (VCM) components on notice to increase their capacity by 30-40% in order to meet the company’s demand, which is expected to outstrip the entire…
Chinese AI Firm Wants Apple to Stop iPhone Production Over Patent Infringement Claims
Ahead of next week’s Apple event, which is expected to include the launch of the iPhone 13 lineup, a Chinese AI firm is asking a court to stop the production and sale of the iPhone in China, alleging that Siri infringes upon its patent, South China Morning Post reports. Apple last year was hit with a $1.4 billion lawsuit from the Chinese AI firm Xiao-i Robot, which claims Apple violated its…
