iPhone 5 Production Rates Fall As Apple Increases Quality Control At Foxconn


Some iPhone 5s are being delivered with chips like these.
Some iPhone 5s are being delivered with chips like these.

The iPhone 5 has quickly become Apple’s fastest-selling iPhone of all-time, meaning it’s incredibly difficult to get hold of — even more than three weeks after its launch. And the situation is about to get a lot worse, according to Bloomberg. Apple has had to increase quality-control at Foxconn to prevent damaged devices with nicks and scratches from leaving the factory. As a result, iPhone 5 production rates have dropped.

A significant number of customers who have purchased the iPhone 5 in recent weeks have found that their device was damaged before it was even removed from the box. The type of aluminum Apple uses for the device, which helps make it so thin and light, means it’s easy to damage, and iPhone 5s are being scraped before they’ve even left the factory.

To prevent these devices from making their way into customers’ hands, Senior Apple managers have reportedly told Foxconn executives to tighten production standards and increase quality-control. Unfortunately for those still awaiting the device, that means production rates have fallen.

According to the Bloomberg report, this is only exacerbating the supply problem Apple was already facing with the iPhone 5, which is estimated to have cost the Cupertino company around $60 million in market value since the device made its debut on September 14.

Apple sold 5 million iPhone 5s during its first three days of availability, but Shaw Wu, an analyst at Sterne, Agee & Leach, says that tally could have been higher had Apple been able to produce more devices.

The constraints are causing analysts to cut their iPhone 5 sales forecasts for the coming quarters. RBC Capital Markets have reduced their projected sales of 57 million units for the December quarter down to 49 million units.

Phil Schiller, Apple’s senior vice president of worldwide marketing, has insisted that it’s normal for aluminum devices to chip and scratch. However, it seems even Apple agrees that it’s unacceptable for devices to damaged before they’ve even been unpacked.

Source: Bloomberg

  • Chris_Hester

    Waiting to get an iPhone? I walked into my local Apple store last Saturday and bought a white 16GB ATT iPhone 5. No wait, no pre-order. I was in and out in less than 10 minutes.

  • Tony Sommersdorf

    I finally recieved my Black 32gb Iphone 5 two days ago. I ordered it on the 21st and waited. It came in flawless, thankfully. I have not had a phone since June when my Iphone 4 was stolen, you could only imagine how I feel to have a new phone, let alone the new Iphone. I figured waiting was no big deal since I have gone so long without a phone. Hopefully people get their Iphones in good condition from here on out.

  • Stylinred

    its not the type of aluminium used its the anodizing process and the type of dye used was of sub par quality that’s why my nokia n8 (which has an anodized aluminium case) is perfectly free of scratches and chips and its been through a war, literally

  • technochick

    Nice job writing a total FUD hit whoring pile of crap with zero confirmed facts.

    You, and these sources, have no real clue so you are pushing possible 100% bullshit. From the extent of the issue to the reasons, possible slow downs etc.

    This site should be renamed “Cult of hit whoring garbage with the very rare decent tip for total noobs”

  • einnid

    Let’s just hope it gets better. It is unacceptable to have this sort of delay.

    But then again, if it is to make sure things turn out perfect.

  • mikells43

    my first one was sent with a chip under the screen so the glass maginified the bad alum. took it to store and they swapped it out, they seen it clear as day..