iPhone 5c May Be A Flop For Apple, But It’s A Huge Success For Pegatron


Tim Cook might have claimed that iPhone 5c demand “turned out to be different than we thought” on Apple’s recent quarterly earnings conference call, but there’s one company that doesn’t seem too upset about the 5c’s performance: Apple supplier Pegatron.

Announcing a 22% jump in earnings for the fourth quarter, Pegatron is crediting mobile devices with its improved marketplace performance. Pegatron’s manufacturing contract with Apple — for manufacturing both the iPhone 5c and iPad mini — accounts for 40 percent of its total revenue.

Although the company previously made some older iPhone models, 2013 was the first year in which Pegatron was the primary manufacturer of a new iPhone model.

The company expects shipments of smartphones, tablets, and game consoles to drop between 15% and 20% in the first quarter this year, but notes that this is an expected seasonal reduction.


About the author

Luke DormehlLuke Dormehl is a UK-based journalist and author, with a background working in documentary film for Channel 4 and the BBC. He is the author of The Formula: How Algorithms Solve All Our Problems, And Create More and The Apple Revolution, both published by Penguin/Random House. His tech writing has also appeared in Wired, Fast Company, Techmeme, and other publications. He'd like you a lot if you followed him on Twitter.

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