AU Optronics, one of Apple’s display manufacturers for the iPad mini, is set to decrease its shipments from 4 million units in the first quarter of 2013 to between 2.5 and 2.8 million units in the second quarter, according to sources in the supply chain.
The move comes as we enter a traditionally quiet period for consumer spending.
Overall iPad mini shipments are expected to drop around 20% to 30% to around 10 million units in the second quarter, according to a new report from DigiTimes. In addition to the panels from AU Optronics, Apple will reportedly source the remaining 7 million from LG Display.
As always, we advise you to take DigiTimes reports with a pinch of salt given the publication’s poor track record with Apple rumors. But this one appears to make a lot of sense.
With holiday and New Year shopping now out of the way, we’re entering a somewhat quiet retail period that will see demand for most products falling. In addition to this, rumors regarding a second generation iPad mini this fall may encourage some fans to wait for the newer model.
AU Optronics is expecting Apple to cut iPad mini display orders again in the third quarter as it prepares for that second-generation model.
It’s also thought that the Cupertino company may decide to cut AUO out of its supply chain altogether following previous production issues. Although AUO has submitted panels for use in the iPad mini 2, only LG Display and Sharp have been selected as suppliers so far, according to DigiTimes.