Apple snaps up all available cameras for massive iPhone upgrade

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iPhone 7 camera
Even more powerful iPhone cameras are coming.
Photo: Ste Smith/Cult of Mac

Apple is consuming the entire production capacity of a new smartphone camera facility as it prepares to take the iPhone’s iSight sensor beyond 12 megapixels.

Largan Precision in central Taiwan is said to be the only manufacturer that meets the company’s minimum yield rate requirement, with its new Taichung factory designed to output around 600 million lens modules every single month.

Apple’s cost-cutting strategy draws ire of Chinese supply chain

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China
Tim Cook meeting an iPhone manufacturer in China.
Photo: Apple

With iPhone demand slowing down, one of the ways in which Apple is hoping to increase earnings is by pushing its suppliers to work for less money — but it doesn’t seem to be going entirely to plan.

According to a new report, Apple is meeting resistance from manufacturers in its Taiwan-based supply chain as it requests that they lower quotes for iPhone 7 components by as much as 20 percent.

Apple pushes suppliers to take a price cut to secure orders

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China
He's a shrewd operator is Tim Cook!
Photo: Apple

Unsurprisingly for a company with the kind of success Apple has experienced, it is quite adept at driving a hard bargain.

According to a new report, Apple has been trying to maintain its high gross margin at a time of slowing smartphone demand by asking its suppliers to work for less money. Major suppliers Largan Precision, Foxconn and Pegatron Technology have all been affected.

Apple shows iPhone 6s lens supplier who’s boss

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iPhone 6s gets the biggest iSight upgrade yet.
Who'd think something as small as an iPhone 6s lens could cause so much drama?
Photo: Apple

Having Apple on your side can, unsurprisingly, be a massive boon to any manufacturer. But don’t try and play hard ball with Cupertino — as the Taiwan-based Largan Precision could be about to find out.

According to a new report, Apple may shift 30 percent of its orders for the lens modules for the iPhone 6s away from current contractors Largan Precision to Japanese rival company Kantatsu, over Largan’s refusal to lower its prices.