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Apple supply chain - page 3

Apple supplier preps factory that could make 2-nm chips for 2024 iPhone

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iPhone11
Forget the current iPhone. TSMC is already planning for the 2024 update.
Photo: Apple

Apple A-series chip manufacturer TSMC has obtained land upon which it plans to build a 2-nanometer fabrication plant, the company’s senior vice president for operations revealed.

In a report published Tuesday, YP Chin said the next-next gen chip fab facility will be located in Hsinchu, a city in northern Taiwan. While there’s no confirmation on when the 2-nm chips will debut, if past patterns are anything to go by, it’s likely they will debut with the 2024 iPhone.

Apple’s biggest supplier splits its manufacturing to avoid being hit with tariffs

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Apple's relationship with Foxconn on the rocks
Tim Cook meets with a person working on the production line building iPhones.
Photo: Apple

Apple manufacturer Foxconn said Wednesday that it plans to split its supply chain in two. One segment will service the China market, while the other will focus on the United States.

Foxconn chairman Young Liu said the manufacturing giant now operates 30% of its capacity outside China, up from 25% last June. In recent years, the company began moving manufacturing to other regions such as Southeast Asia to avoid possible tariffs on Chinese goods headed to the United States.

Apple reportedly imported clothes from Chinese company accused of forced labor

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Apple Paris
Apple staffers' uniforms may have been partly manufactured by an accused company.
Photo: Apple

A Chinese company facing U.S. sanctions for using forced labor provided clothing or raw materials to Apple, possibly in the form of uniforms for its retail employees, claims The Guardian.

Changji Esquel Textile is one of a group of 11 companies that reportedly violated human rights in China’s western Xinjiang region. The company denies using forced labor “anywhere” in its business and says it will appeal its inclusion on the sanctions list.

iPhone 12 camera problem might have an upside for Apple

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iPhone-12-concept-2
Ming-Chi Kuo says there's a problem with iPhone 12 camera lens.
Concept: PhoneArena

Apple reportedly encountered a problem with some of the camera lenses it plans to use for the iPhone 12. Specifically, some of the coatings for the wide-angle lens cracked during a high-pressure, high-humidity stress test, according to TF International Securities analyst Ming-Chi Kuo.

While that might not sound great, there’s actually no reason to panic. And the supply-chain problem might even wind up saving Apple a few bucks.

Apple pushes tech toward green manufacturing, this week on The CultCast

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CultCast 442: AirPods with health sensors
Apple is definitely not neutral on going carbon neutral. (And neither are we.)
Image: The CultCast

This week on The CultCast: Apple — and the company’s entire supply chain — will be 100% carbon neutral by 2030, pushing the world of tech toward big changes. Plus: A powerful iOS 14 privacy feature will be great for consumers, but might kill the billion-dollar online ad industry. We’ll also tell you about some exciting new podcast features coming to Spotify, and wrap up with our favorite new gadgets on an all-new Under Review.

Our thanks to NETGEAR for supporting this episode. The Orbi WiFi 6 router gives you ultra-fast speeds and wider coverage throughout your home — it’s the biggest revolution in Wi-Fi ever. Check it out today at Netgear.com/bestwifi.

Apple reportedly cuts 5G iPhone orders on fears of global recession

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This iPhone 12 concept borrows from Samsung.
Is Apple cutting back on its orders for the future iPhone 12? It appears so.
Image: ConceptsiPhone

Apple reportedly cut orders for its future 5G iPhones with Chinese component makers, fearing a slowdown in orders as a result of what many economists are already calling the beginnings of a global recession. 

Chinese daily technology newspaper Digitimes reported Friday some component suppliers have been told by Apple they will not need as many parts for new iPhones, expected to be released later this year. Other suppliers now say that they too expect a slowdown in orders from the iPhone-maker.

Bullish analyst lays out best- and worst-case scenarios for Apple in 2020

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2020 iPhone concept
Apple's 2020 could go one of a few different ways.
Photo: PhoneArena

The next three months are going to be crucial in determining Apple’s year ahead, Wedbush analyst Dan Ives writes in his latest note to clients, as seen by Cult of Mac.

In a message sent Sunday, Ives lays out his thoughts on best- and worst-case scenarios for Apple over the next few months amid fallout from the coronavirus pandemic. The results likely will have a major impact on Apple going forward.

Apple considers delaying 5G iPhone launch

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iPhone 12 with LiDAR scanner
This is what the 2020 iPhone will probably look like.
Photo: svetapple.sk

iPhone fans dying for a 5G upgrade might be kept waiting a little bit longer thanks to the coronavirus pandemic.

Apple is reportedly having internal discussions debating whether to delay the launch of the 5G iPhone by months. The iPhone 12 was expected to be released this fall, but Asian news site Nikkei says supply chain problems might force the company to push the date back. And there’s something else worrying Apple execs, too.

Coronavirus pandemic continues to ‘hammer’ Apple’s supply chain

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Hammer hammering
This is kind of like a metaphor.
Photo: Unsplash/Moritz Mentges

Apple’s supply chain is still weathering the effects of the COVID-19 coronavirus pandemic, a report published late Thursday by Bloomberg makes clear.

Even though China has seemingly overcome the worst of the coronavirus spread, Apple products are continuing the suffer the impacts. That is likely to manifest itself in the form of delays for new products and fresh batches of existing ones.

With iPhone SE 2 delayed indefinitely, source confirms Apple nixes rumored March event

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iPhone 11 Pro
With new products not ready to sell and coronavirus concerns on the rise, a source says Apple postponed a planned product event.
Photo: Apple

Apple decided to postpone a March product launch event after continuing delays in the production of an expected successor to the iPhone SE, a source at Apple confirmed to Cult of Mac.

A number of other problems played into the decision to delay the event that was being planned, including the worsening impact of the COVID-19 strain of the coronavirus in California and elsewhere.

COVID-19 coronavirus could delay launch of 5G iPhones

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Latest iPhone was 1 out of every 10 smartphones sold in US last quarter
Apple usually unveils its new iPhones in September.
Photo: Ed Hardy/Cult of Mac

The spread of the COVID-19 coronavirus could hurt Apple’s plans to launch its first 5G iPhones in the second half of 2020, a new report claims.

According to a DigiTimes report Monday, Apple extended restrictions on employees traveling to parts of Asia until the end of April. The extension will delay tests for the next-generation iPhone that “could have a direct impact” on launch timing.

Apple’s biggest contract manufacturer had a rough February thanks to COVID-19

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iPhone sales drive Apple’s biggest supplier to big profits
Foxconn had its worst February in a long time.
Photo: CBS

Apple’s biggest contract manufacturer, Foxconn, endured a rough February as the COVID-19 coronavirus outbreak worsened in China.

The company, which is also the world’s biggest electronics manufacturer, suffered its biggest monthly drop in revenue in around seven years. Its earnings, announced Thursday, show an 18.1% decline in revenue versus the same period last year. This marks the company’s third straight month of decline.

COVID-19 virus puts iPhone repair parts in short supply

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fixing of taptic engine on iPhone
The coronavirus is impacting supplies of iPhone parts for repair.
Photo: iFixit

Apple Stores are running low on iPhone replacements and repair parts as COVID-19-related delays begin reaching consumers.

The tech giant informed technical support staff at its stores to expect delays of two to four weeks for replacement phones and individual parts.

Apple’s biggest manufacturer says production will return to normal by end of March

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Coronavirus-related shutdowns continue to disrupt Chinese factories.
Coronavirus has severely impacted Foxconn production.
Photo: Steve Jurvetson/Flickr CC

Apple manufacturer Foxconn hopes to resume regular production in China by the end of March.

Foxconn’s operations, which include iPhone production lines, have been severely impacted by the outbreak of the COVID-19 virus. The world’s largest electronics contract manufacturer previously said it expects its full-year revenues to take a hit.

2 Apple suppliers allegedly used Uighur Muslim forced labor in China

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China’s population of 1.4 billion makes it a huge potential market for Apple.
Both companies have factories in China.
Photo: Ed Hardy/Cult of Mac

Two suppliers that make components for Apple in China employ forced labor, according to a report published Sunday. The Washington Post says BOE Technology Group, which supplies screens to Apple, and O-Film, which makes iPhone cameras, both use Uighur labor, either directly or through contractors. Apple lists both companies on its latest supplier list.

The report describes how the Chinese government detained more than 1 million ethnic Uighurs from China’s western Xinjiang region in reeducation camps. And it says evidence indicates that authorities “are moving Uighurs into government-directed labour around the country as part of the central government’s Xinjiang Aid initiative.”

Tim Cook takes wait-and-see attitude toward constantly changing coronavirus; ‘reason for optimism, but we’ll see’

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Apple CEO Tim Cook is optimistic about Apple’s future
CEO Tim Cook says “Apple is fundamentally strong.”
Photo: Fox Business

CEO Tim Cook promises Apple is fundamentally strong and will weather the problems resulting from the coronavirus spreading around the world. He says his focus isn’t on short-term changes in Apple’s share price, despite a recent significant drop.

In a wide-ranging interview with Fox Business recorded Thursday in Birmingham, Alabama, Cook also discussed whether his company will move more device production out of China, and his relationship with President Donald Trump.

Veteran operations exec leaves Apple; another considers exit

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Apple Park
Two operations execs could be on their way out of Apple.
Photo: Matthew Roberts

One veteran executive is leaving Apple, while another exec is considering departing the company as well, a new report claims. Both worked in the operations and supply-chain management side.

Nick Forlenza, a vice president of manufacturing design, has retired from Apple. Meanwhile, Duco Pasmooij, a vice president of operations, is discussing an exit in the near future. The operations side of Apple is currently facing challenges related to the outbreak of coronavirus in China, where many of Apple’s supply-side contractors are located.

Low-end AirPods rumor gains traction yet remains ‘lite’ on credible details

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They AirPods Pro fit in their case like nothing ever happened.
These AirPods Pro are full-strength.
Photo: Charlie Sorrel/Cult of Mac

Tossed into the swirl of rumors and reports about coronavirus and its impact on Apple production is an alleged new entry to the AirPods lineup called “AirPods Pro Lite.”

The quotes bookending the product name are because no one is sure what to make of what is essentially a rumor first reported by a Chinese website with a mixed record for accuracy.

In the last few days, reports have surfaced in DigiTimes of a second “lite” version supplier, giving further credence to the various reports.

China develops a data-hungry app for tracking coronavirus

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The novel coronavirus continues to wreak havoc in China.
Can an app help stop the spread of coronavirus in China?
Photo: Apple

The Chinese government developed an app that lets users check whether they are at risk of infection from the novel coronavirus spreading across the country.

The location-aware “close contact detector” app reveals whether users have been close to another person suspected of having coronavirus. The data-hungry app serves as yet another illustration of China’s surveillance-heavy approach to controlling its citizens.

Apple manufacturer reopens factory — but fewer than 10% of employees turn up

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Coronavirus-related shutdowns continue to disrupt Chinese factories.
Foxconn is Apple's biggest contract manufacturer.
Photo: Steve Jurvetson/Flickr CC

Key iPhone manufacturer Foxconn continues to feel the effects of the deadly coronavirus outbreak in China. The company recently reopened its factory in the eastern central Chinese city of Zhengzhou, but fewer than 10% of its workforce returned to work, according to Reuters.

Meanwhile, the Chinese government rejected Foxconn’s request to reopen its factory in the southern Chinese city of Shenzhen.

iPhone-maker shuts down Shenzhen facilities amid coronavirus crisis

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Foxconn Wisconsin
Foxconn workers in Shenzhen will not report next week until further notice.
Photo: Foxconn

The Chinese company that assembles most of the world’s iPhones has ordered employees in one region of the country not to return to work next week to prevent further spread of the deadly coronavirus.

Foxconn sent text messages to Shenzhen-based employees that those sites will remain closed until further notice. While Foxconn’s main iPhone factory is in Zhengzhou, a portion is assembled in Shenzhen. Shenzhen is also the headquarters for Foxconn’s parent company, Hon Hai Precision Industry Co.

Apple suppliers in China eye February 10 restart after coronavirus shutdown

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Foxconn
But there's a definite chance of further delays.
Photo: Foxconn

Apple’s manufacturing partners in China hope to jump back into action next week, after the coronavirus epidemic forced temporary shutdowns in the country, according to a new report.

Foxconn, LG Display and others “plan to resume full-scale production” on February 10. But with the viral outbreak only worsening as the weeks go on, there’s a definite chance of further delays.

Apple closes 3 China stores over coronavirus worries

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apple store in shangahi
The Shanghai Apple Store.
Photo: Apple

Government-ordered quarantines in place to contain a deadly coronavirus outbreak in China have forced Apple to temporarily close three stores in the country.

Apple’s good news about a record-breaking quarter this week have been tempered as executives monitor conditions in a country critical to the mass production of its most popular devices, especially the iPhone.

Profile focuses on Apple’s cutthroat buying practices and ‘The Blevinator’

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A new profile of Apple purchasing executive Tony Blevins gives an inside perspective on the company's tough negotiating tactics.
A new profile of Apple purchasing executive Tony Blevins gives an inside perspective on the company's tough negotiating tactics.
Photo: North Carolina State University

In a feature piece based largely on background sources, The Wall Street Journal on Thursday profiled Tony Blevins, Apple’s vice president of procurement, giving a unique insight into the dog-eat-dog business of buying components from third-party suppliers for Apple products.

One of Apple’s biggest suppliers plans to open factories in Vietnam

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One of Apple's biggest suppliers planning to open factories in Vietnam
Pegatron is reportedly opening to factories in Vietnam.
Photo: Guido da rozze/Flickr CC

Apple supplier Pegatron is looking to Vietnam as a location to possibly carry out some of its manufacturing work.

The move would help Pegatron, one of Apple’s biggest suppliers, diversify beyond its current home in China.