Per the rumor mill and Nikkei Asia, Apple has begun tapping additional Chinese suppliers as it seeks to meet its targets for iPhone 13 production and launch.
The company is set to produce between 90 million and 95 million iPhones through January, and China’s Luxshare Precision Industry has won 3 percent of orders away from Taiwanese rivals Foxconn and Pegatron.
Luxshare will start building the iPhone 13 Pro — as the premium model is expected to be called — this month, according to sources, a major breakthrough for a company that has never produced iPhones on its own. Newcomers to the Apple supply chain normally start out making older iPhone models. Two companies that Luxshare acquired last year, South Korean camera module maker Cowell and metal frame maker Casetek of Taiwan, will also supply key components and parts for this year’s new iPhones, sources familiar with the matter said.
In spite of Luxshare’s relatively small percentage of iPhone production for 2021, its involvement has reportedly rattled more established Chinese suppliers, who are said to be wary of the Chinese manufacturer’s competitiveness and the possibility that it could steal away bigger chunks of orders in the future. In spite of U.S. trade restrictions with China, Luxshare has made its way into Apple’s lucrative supply chain has reportedly come at the expense of rivals in the U.S., Taiwan, Japan, and South Korea.
For example, China-based Lens Technology has only supplied glass backs and cover glass for iPhones in the past, but this year it will also supply metal casings for the first time, according to rumors.
The report highlights Apple’s continuing mission to diversify its supply chain as much as possible, reducing risk and improve its bargaining power between major supply chain players like Foxconn and Samsung, which have traditionally dominated iPhone production.
The iPhone 13 models are expected to be announced in September, and are said to look similar to the 2020 iPhone lineup, with four devices in sizes that include 5.4-inches, 6.1-inches, and 6.7-inches, with two of the iPhones being higher-end “Pro” models and two positioned as lower-cost, more affordable devices.
Stay tuned for additional details as they become available.
Via MacRumors and Nikkei Asia
