We are getting closer to the possible launch of Apple’s new iPhone 13 lineup. The new devices are rumored to arrive next month, and some even suggest that Apple is expecting great demand for its upcoming phones, as it could’ve already ordered some of the necessary components for their production. Now, said production is usually in the hands of two companies, Foxconn and Pegatron, but it seems that it will have to add a third company to meet the upcoming demand.
It seems that Apple has added Chinese company Luxshare Precision Industry a piece of the upcoming iPhone 13 production. Luxshare already makes several iPhone components, such as haptic engine and camera modules, as well as metal frames for iPhones, and it has also been in charge of AirPods production. However, it will now take a more important role in the production of Apple’s flagship devices.
We’ve seen Apple add some companies to its iPhone production line before, such as the case of Wistron in India, but these usually start producing previous models. However, Nikkei Asia claims that Luxshare will start working on the latest models. Still, the Chinese company would only receive 3 percent of the upcoming iPhone 13 models, which means that Apple may use this run to see how things go.
“Apple is tapping more suppliers in China for key roles in producing the latest iPhone, a sign that the country’s technological competitiveness is continuing to increase despite Washington’s attempts to rein in Beijing’s tech ambitions.”
“Chinese electronics maker Luxshare Precision Industry will build up to 3% of the upcoming iPhone 13 series, winning orders away from Taiwanese rivals Foxconn and Pegatron, Nikkei Asia has learned. Apple is slated to produce between 90 million and 95 million of the new iPhones through January.”
“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.”
Remember that Apple is also looking to have multiple suppliers to avoid issues and to strengthen its negotiating position, as it doesn’t want to depend on a single supplier. Cupertino may also be looking to add Sunny Optical and BOE Technology to aid with lens and OLED production for its devices. The report also cites one senior executive from either Foxconn or Pegatron, saying that:
“Although Luxshare only makes a small percentage of iPhones this year, we can’t let our guard down,” said a senior executive at a rival iPhone supplier. “If we don’t strengthen our competitiveness, sooner or later they will be the major source.”
Source Nikkei Asia