Apple Ramps Up Production For iPhone 12 Rollout
Apple and its suppliers are gearing up for the much-awaited 5G iPhone 12 rollout, which will be available in a few days, after its announcement on October 13. Foxconn and and Pegatron are working overtime during Chinese holidays to ensure that production demand is met.
Works at Pegatron and Foxconn factories in China have been working during the Mid-Autumn Festival and Golden Week holidays to meet production requirements for the four 5G capable iPhone 12 models. Apple and its suppliers are preparing to produce almost 74 million units in 2020, which is slightly lower than the company’s original 80 million units order. Nikkei Asia reports that this is due to production and development delays because of COVID-19 pandemic. If sales remain high until next year, Apple’s suppliers will make up for the shortage in units.
To answer concerns regarding overtime, Foxconn told Nikkei Asia that the additional time being spent by its employees during holidays is voluntary and in compliance with local laws.
Despite tensions between the United States and China, the manufacturing for iPhone 12 will still be taking place in the China. As Nikkei Asia notes, iPhone 12’s sales in China could take a hit if Trump forces a ban on apps like WeChat and TikTok from the App Store. WeChat is used for messaging, mobile payments, gaming and much more, and a ban on the app could push users to other platforms and devices where the service is available. In response, the Chinese government could retaliate in kind by targeting companies like Apple, Qualcomm and more.
Analysts predict that 2021 will see recovery for smartphone sales, which had taken a hit in 2020 due to the coronavirus pandemic and geopolitical tensions. As per Luke Lin from DigiTimes, iPhone sales will likely exceed 220 million units in 2021, compared to 195 million in 2020, giving Apple the second position in the global smartphone market.
Stay tuned to our coverage for iPhone 12 launch event on October 13, as we bring you the best coverage of the new smartphones and other announcements from the event.