Apple is thinking of making substantive changes in its supply chain and has asked its major suppliers to analyse the costs that would be involved in moving between 15% and 30% of production from China to countries like India, Vietnam, Mexico, Indonesia and Malaysia.
Taiwan company Foxconn Technology has recorded a 39% drop in profit for the quarter ending September compared to the corresponding period a year ago, a fall that appears to be attributable in part to production difficulties with the iPhone.
Chip maker Qualcomm has filed yet another suit against Apple, this time accusing the latter of breaking a software licence contract in order to benefit Intel in the making of broadband modems.
Taiwan manufacturers Foxconn, Pegatron, Compal and Wistron have joined Apple in its legal battle against Qualcomm, charging that the chip maker overcharges for patent licences and breaks anti-trust laws.
Apple is scheduled to report its second fiscal quarter earnings overnight and the company will announce that it has more than US$250 billion in cash, most of it stashed outside the US.
Apple has looked at shifting part of its iPhone production back to the US, according to a report in the Japanese news website Nikkei Asian Review.
Reader Scott (his nom de plume) has suggested iTWire was Apple bashing in reporting accurately the China Labour Watch report titled “Apple making big profits, but Chinese workers wages on the slide.”
Apple’s main supplier Foxconn has long been a source of controversy and embarrassment to the company. Now its Shanghai-based Pegatron is in the spotlight.
Apple has ordered its hardware makers to scale back on iPhone 5c manufacturing, leading analysts to believe the colourful phone isn't selling as well as expected.
Apple is once again fighting allegations of worker rights violations at Chinese factories after fresh reports that over 10,000 underage and student workers work in crowded production rooms at parts supplier Pegatron.
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