Wednesday, December 10, 2014

Pegatron to Become Largest iPhone Manufacturer in 2015


44 Pegatron




According to Focus Taiwan, Pegatron Corp. is positioned to become the largest recipient of iPhone orders in 2015, a move which is clearly part of a continued effort to diversify its supply chain. Hopefully these efforts will continue to keep future products such as the rumored iPad Pro and the upcoming iWatch on track for successful development and delivery.





"For the next product cycle, iPhone 6S, likely out in September 2015, we believe for the first time in the iPhone history, Pegatron will become the main source for assembly, with more than 50 percent of the 4.7-inch allocation," [an undisclosed] European brokerage said in a note to clients on Monday.



I honestly didn't realize the full scope of Pegatron's reach as a corporation across the globe and so I looked them up. I included the picture above specifically to show a little bit more about where they are located and I discovered they do so much more than make phones for Apple. The increased iPhone orders are still going to raise their profile and have already helped raise their stock.



The diversification of suppliers helps manage a number of issues such as keeping prices lower and spreading products around so that isolated incidents wont affect production overall. Pegatron has reportedly already been producing 30% of iPhone 6 devices, with Foxconn producing the other 70%.



Foxconn is likely to remain an important supplier but recent reports suggest they are diversifying their own products and even taking on sapphire glass. If rumors are true that a large format iPad is in the works, and with the increased iPhone sizes, all of the additional parts and glass have to come from somewhere. As Apple continues to increase their investments in proven companies, they will ensure that products can be released on time with significant amounts ready to go early on.



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