In recent years, Apple started manufacturing its popular products like iPhones in India. The company’s biggest supplier Foxconn is responsible for its smartphone production in the region, and now, it appears that it will also make AirPods from its factories as well.

Apple AirPods now Made in India

According to a new report, the Cupertino based giant is planning to locally make its hearables in India. Future AirPods will be mass-produced by Foxconn from its factory situated in Hyderabad. In other words, the AirPods will soon join arrive with the Made in India tag as well. Apparently, Foxconn has approved an investment of 400 million US Dollars for its Hyderabad plant.

The PTI report states that sources are claiming that AirPods production will kick off in India sometime by December 2024. This means that Indian consumers will have to wait till 2025 to buy AirPods made locally. The iPhone maker was first rumored to begin AirPods production earlier this year but with a smaller 200 million US Dollar initial investment.

As of right now, Apple is selling its AirPods (2nd & 3rd Gen) and AirPods Pro (2nd Gen) in the country. Unfortunately, it is still unclear if local production will lead to the AirPods pricing in the region being affected. So stick around for more, as we will be providing updates when additional information is available regarding this matter.

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(Via)

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Apple recently unveiled its highly anticipated mixed reality headset dubbed the Vision Pro. This 3,500 US Dollar headset is a first of its kind product from the company. Now, a fresh report has even revealed the suppliers behind the new gadget.

Apple Vision Pro is being build by brand’s AirPods supplier Luxshare

Apple has contracted Luxshare Precision Industry Co as one of its primary suppliers for the Vision Pro. For those unaware, this contract manufacturer is also a major supplier for the AirPods and will even produce the iPhone 15 models. Now, the Cupertino based giant has brought aboard Luxshare and six other Chinese companies to assemble its latest high end gadget, which is the new Vision Pro headset.

The other six manufacturers in the Apple supply chain includes the likes of Cowell E Holdings that is a camera module maker and Shenzhen Desay Battery Technology, which is providing the lithium batteries and power management system for this product. Notably, this move from Apple also shows the company’s shift to include more Chinese suppliers in its supply chain and its growing connection with the region despite the geopolitical situation surrounding the region.

Although, the iPhone maker’s new mixed reality headset is still primarily being supplied by its Taiwanese suppliers. This includes optical parts maker Largan Precision, Optical lens products manufacturer Genius Electronic Optical, and others. According to Ivan Lam, senior analyst at Counterpoint, “It is evident that Vision Pro’s current suppliers, similar to the structure [of companies] behind the iPhone, are among the world’s top consumer electronics component providers”.

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As of late, Apple is expanding its factories worldwide at a rapid rate. By diversifying its manufacturing facilities, Apple is looking to reduce risks associated with relying on a single location and gains access to different markets. This strategy helps optimize costs, streamline supply chains, and improve profitability. Additionally, it allows Apple to leverage local regulations and incentives, tap into diverse talent pools, and enhance its ability to meet customer demands efficiently, in addition to getting supplier manufacturing parts up in different parts of the world. As per the latest news, Apple supplier Compal Electronics Vietnam Co., Ltd. has recently signed an investment cooperation agreement with Green i-Park Company to construct a state-of-the-art factory in Lianhetai Industrial Park. With a whopping investment of $2.6 billion, this project is set to make waves in the manufacturing sector.

By 2029, the Factory’s revenue is expected to hit $1.2 Billion

The factory, expected to be completed by 2023, will span an impressive 40 hectares of land. Its initial testing phase is slated for the first quarter of 2024, followed by full-fledged production in the second quarter. The ambitious plan aims to churn out 12 million products by 2026 and an impressive 30 million pieces annually after the first year.

The scope of production at this advanced facility is diverse, encompassing computers, computer peripherals, communications equipment, home appliances, and electronic components. Such a wide range of offerings signals a significant expansion of Apple’s manufacturing capabilities in the region.

The economic impact of this venture is projected to be huge. By 2029, the factory’s estimated revenue is expected to reach $1.2 billion, a testament to the scale and success of this enterprise. Looking even further ahead, industry experts foresee a remarkable revenue surge, projecting a staggering $6.8 billion by 2037.

This bold move by Compal Electronics Vietnam Co., Ltd. demonstrates a strong commitment to growth and innovation in the tech sector. The investment not only injects a substantial sum into the local economy but also holds the potential to create job opportunities and foster technological advancements in the region.

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Apple is apparently planning on bringing on another supplier for its upcoming iPhone 15 Pro Max. The company is adding another supplier to help source the new periscope camera lens on its next gen flagship. So here are all the details.

New Apple supplier will make iPhone 15 Pro Max’s 6x zoom lens

For those unaware, the Cupertino based giant’s iPhone 15 Pro Max is expected to launch with a periscope camera sensor, which is basically a telephoto lens that reflects light via an angled mirror towards the camera’s image sensor for improved magnification. Thanks to the change in direction of light, the iPhone 15 Pro Max is capable of offering higher magnification without any blurriness or fall in picture quality.

Based on our previous report, we can expect see up to 5x or 6x optical zoom on the company’s next gen premium iPhone. For those unaware, this is about two times higher than the 3x optical magnification offered on the current gen iPhone 14 Pro Max. Initial reports have hinted that Largan Precision would be the sole supplier of the periscope system, but a new report suggests that the Genius Electronic Optical (GSEO) will be the new supplier of the module.

GSEO had previously shipped periscope lenses to a Japanese smartphone maker. Now, known Apple analyst Ming-Chi Kuo claims that the iPhone 16 Pro models in 2024 will use a periscope lens similar to the one that is exclusively used on the iPhone 15 Pro Max. Keep in mind that this is still just an unconfirmed report so take this news with a pinch of salt for now.

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A couple of days ago, we had reported on rumors that Apple will source its chipsets from within the US. These chipsets would’ve been made by TSMC from its new semiconductor facility in Arizona. Now, the company has confirmed this news.

The Cupertino based giant’s CEO Tim Cook spoke this morning in Arizona and confirmed that the company is planning on buying chips that were manufactured in the US by the world’s largest contract chipmaker, TSMC. For those unaware, the Taiwan Semiconductor Manufacturing Company has recently setup its multi billion dollar semiconductor plant in Arizona and is set to begin production by the year 2024.

Furthermore, the iPhone maker is already one of the biggest clients of the chipmaking giant. This move to source from within the US also benefits Apple amidst the ongoing tensions between Taiwan and China. The latter has been eyeing the former, although, the US has promised to defend the nation. But, military conflicts will make it harder for the company to source its chips from the region. Thus, sourcing it from its home market will help secure its chip supply chain.

According to Tim Cook, “And now, thanks to the hard work of so many people, these chips can be proudly stamped Made in America. This is an incredibly significant moment.” TSMC is spending around 12 billion US Dollars on its Arizona plant, which is also expected to begin the production of advanced 5nm process based chips by 2024. However, it even reportedly has plans to begin 3nm production to meet Apple’s demand as well.

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Apple has been facing disruption in its iPhone production site in China. Now, a new report has revealed that this has led to the company seeing a production shortfall for some of its iPhone Pro units this year.

For those unaware, the iPhone production site in China is situated in Zhengzhou and was the largest iPhone manufacturing factory in the world and was run by Foxconn. Recently, we had reported on various issues faced by this hub, including local COVID-19 lockdown and even a violent riot. Now, according to a Bloomberg report, it seems that the situation in the iPhone plant has yet to be completely ironed out, which will likely lead to lost production and fall in unit production estimation.

So the improvement of this situation will also depend on the Taiwanese supplier getting its assembly line back on track and bringing people back for production following the violent protest. However, if the lockdown caused by COVID persists, then we can expect the production impacts to be even more severe. As of right now, the report claims that the company is seeing around a 6 million unit shortfall for its iPhone 14 Pro series models alone.

To recall, Foxconn’s largest factory faced those violent riots following the new hiring after the COVID-19 lockdown. This lockdown led to stricter restrictions on the site and tighter work regulations. Thus, some workers began protesting since they claimed that they had no knowledge of such restrictions during the hiring process, with the process soon turning violent.

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We already know that Apple has been looking to diversify its supply chain and production operations outside of China for some time now. Although it appears that the company is apparently also planning to diversify its chip source as well, moving away from Taiwan.

According to a Bloomberg report, the Cupertino based giant is seeking to diversify its chip chip production out of Taiwan. Reportedly, Tim Cook, CEO of Apple has stated in an internal meeting that the brand has “already made a decision to be buying out of a plant in Arizona.” In other words, its looking to even acquire chips from US based fabs, which are set to begin production sometime in 2024. This means that the iPhone maker will have a new chip source in just around 2 years.

Apart from the Arizona based fab, the company is supposedly eyeing semiconductor manufacturers that are based in Europe as well. For those unaware, Apple has its proprietary M series of PC chips for MacBooks and iPhone’s A series of mobile processors produced by the Taiwan Semiconductor Manufacturing Company, which is the world’s largest contract chipmaker. As the name suggests, this means that most of its fabs are located in Taiwan, although it even has an advanced facility being built in Arizona.

So it appears that TSMC might be the supplier from Arizona. However, the firm isn’t the only company setting up a fab plant in Arizona. The US government recently passed a legislation to invest over 50 billion US Dollars in domestic semiconductor production. Intel has also stated that it has plans on making chips for other companies from its semiconductor manufacturing sites. Keep in mind that this is still an unconfirmed report so take this news with a pinch of salt for now.

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Apple supplier Foxconn is apparently planning on raising its workforce in India. The supplier is making this move to help raise production, which in turn, would enable it to meet the high iPhone demand in the market.

The Cupertino based giant’s largest supplier is planning on quadrupling its workforce in India. Foxconn is apparently going to raise the number of workers for its iPhone factory by such a large amount in India over the course of the next two years, as per two government officials (Via TheHindu) close to the matter. Interestingly enough, this news arrives after the iPhone maker saw disruptions in its production in China due to local lockdowns.

For those unaware, Foxconn’s largest iPhone plant in Zhengzhou, China was closed down due to the Chinese government imposing a local lockdown due to the coronavirus outbreak. This caused operations to halt abruptly and also lowered Apple’s shipment expectations for its latest iPhone 14 series models in the fourth and final quarter of this year. So now, Foxconn is reportedly planning on boosting its workforce in its plant in South India to 70,000. In other words, it would have to bring in more than 53,000 new workers overt he next two years.

While the new hiring would mark a significant scale up in production in the Tamil Nadu plant in India, Foxconn’s Zhengzhou is still its largest iPhone plant that employees a whopping 200,000 workers. Meaning, we can expect this move from Foxconn to be a way to dampen the blow of its largest plant being closed down temporarily. It would also help it deal with any possible future lockdowns in the region by growing its workforce in India.

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China has just recently ordered a seven day long lockdown in a region, which is also where Foxconn Technology has its largest iPhone plant. This would likely affect Apple shipments as its largest suppliers biggest plant is down for a week.

According to a BusinessStandard report, the Chinese government has implemented a lockdown around Foxconn’s main iPhone plant in Zhengzhou. The lockdown is currently in effect and will last until the 9th of November 2022. This news was also published on the local government’s official WeChat account. As of right now, the government has barred all vehicles to operate in the region of the lockdown, except those that are carrying essential goods. The lockdown was implemented in Zhengzhou after the area saw a sizeable jump to 359 COVID-19 cases on Tuesday. This was up from just 95 from a just a day prior.

The sudden lockdown is a part of China initiative of Covid Zero approach to controlling each outbreak. Now, Foxconn’s main iPhone plant was unfortunately caught in this zone and has had its operations abruptly halted. The Taiwanese company is the largest supplier in Apple’s supply chain and has had to force some of its 200,000 strong staff into quarantine. Furthermore, some were pushed to flee the site, with some even leaving on foot. Following this lockdown, the company will also face complications to recruit and bring in new staff members.

Foxconn would even be troubled to ship production materials to continue their operations. At the moment, neither Foxconn or Apple has given out any statement regarding this news. Although, the former is working on raising wages and arranging backups from its other Chinese plants to mitigate this sudden operations disruption in its Zhengzhou iPhone assembly line. While Apple has just launched its iPhone 14 lineup, it refrained from bumping orders due to an ongoing economic slump, which has led to a decline in smartphone sales.

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Pressures from the US have apparently led to Apple halting some of its plans to use chip technology that originates from China. The company is now putting its plan to use YMTC (Yangtze Memory Technologies Co.) memory chips on hold.

According to a NikkeiAsia report, multiple sources close to the matter have revealed that the halting of the plan arrives after the latest rounds of US export controls that were imposed against the Chinese tech sector. Furthermore, the news is also indicative of Washington’s crackdown and is disrupting the supply chain as well. Notably, the Cupertino based giant had already completed the process to get approval to use the YMTC’s 18 layer 3D NAND flash memory and also got it certified before using it on iPhones.

However, the US government has since put out tighter restrictions around exports from China earlier this month. Interestingly, YMTC’s 128 layer chips are one or two generations behind competition like Samsung and Micron, but they are also around 20 percent cheaper than other leading rivals. Now, growing geopolitical pressure and criticism from US lawmakers have apparently led to Apple halting its plans for this deal.

As per one of the sources, “The products have been verified, but they did not go into the production lines when mass production of the new iPhone began.” Another source added that “YMTC is government-subsidized so they can really outprice competitors.” Meanwhile, Brent Fredberg Brandes Investment Partners’ director of investments stated that “Apple may continue wanting to use YMTC in the local market for China. But the way the regulations are set up currently, it’s very unlikely that YMTC will even be able to supply the kind of NAND chips in a couple of years that Apple would want.”

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Apple has just recently announced its 2022 lineup of iPhones, which is the iPhone 14 series. It is the latest generation of flagship smartphones from the brand, and it appears that its supply partner in India might include the Tata Group.

According to a Bloomberg report, the Cupertino based giant’s Taiwabnese supplier Wistron Corp and Tata Group are in talks to create a joint venture that will them produce iPhones. In other words, Tata could be the first Indian company to make iPhones within the region. For those unaware, the Indian conglomerate is known for a number of business, which extends from salt to steel to even software as well. Now, it appears its diversifying its operations to another industry.

The sources close to the matter in the report further added that “The aim is to make Tata a force in technology manufacturing, and the Indian salt to software conglomerate wants to tap the Taiwanese company’s expertise in product development, supply chain and assembly.” Unfortunately, the joint venture’s deal structure and other finer details like shareholdings is still known at the moment. Although, it may likely involve the Indian company buying shares in Wistron’s Indian operations.

It is also possible that Tata was brought on board to also build a new assembly facility in India. Apple has been making iPhones in the region since 2017, so it wouldn’t be surprising if it plans on expanding the scale of production as it has already been attempting to diversify its supply chain to regions outside of China.

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The launch of the Apple iPhone 14 is just around the corner. But prior to any official announcement, an analyst has revealed that the company will start production of the newest iPhone lineup for the first time ever at launch.

For those unaware, the Cupertino based giant has began production of its latest iPhones in recent years. However, the region began production of these newly launched iPhones typically around a quarter or more behind its primary production hub, which is China. But now, it appears that the brand is planning on having the Indian production to go hand in hand with the Chinese production for the first time.

The news arrives from known analyst Ming-Chi Kuo, who claimed that Apple supplier Foxconn will start the production of the 6.1 inch iPhone 14 “simultaneously with China” in the second half of this year. He further added that India’s iPhone shipments will still have a considerable gap with China in the short term, but it is still a milestone in Apple’s efforts to diversify its supply chain outside of China.

The iPhone maker has been working on expanding its production to regions outside of China, with Vietnam and India being newer and upcoming nations. Notably, the analyst stated that another one of the reasons that Apple is moving its production away from China is due to geopolitical reasons. Additionally, it has identified the Indian market as the next key growth driver and plans to expand its production in the region.

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Apple is considering to slowly diversify its manufacturing for export to countries like India and South Asia. The company, which has been increasingly dependent on Chinese facilities such as Foxconn, Pegatron, etc., for manufacturing its diverse portfolio, has decided to make this slow shift in the post-pandemic period.

Apple has instructed its manufacturing partners to perform more NPI (New Product Introduction), which is a preliminary stage of mass production work in which contractors translate a brand’s product blueprints and prototypes into a precise manufacturing plan outside of China, according to a Wall Street Journal report.

The company was thinking of making this geographic change for some time now but the pandemic had posed a hurdle. The recent developments in Shanghai which have led to further strict lockdowns have intensified the resolve to diversify. Another reason for this move is the increasing tensions between U.S and China relations and the travel restrictions between the two countries.

India and Vietnam are being considered as major alternatives to China. The countries already account for a small portion of Apple’s global manufacturing. Foxconn, Apple’s manufacturing partner has already set up facilities in India to help make iPhones for the Indian market. Apple is now talking with its various suppliers to set up manufacturing hubs in India for export.

However, China will still be the most prominent manufacturing hub for Apple due to various factors such as a well-trained workforce, low costs relative to the U.S., and a deep network of parts suppliers that are hard to recreate elsewhere without years of effort.

The shift to alternate manufacturing hubs will be slow and they will serve as a manufacturing hub for new product categories such as AR headsets, etc., predominantly. The upcoming months will shed more light on how Apple will lead this diversification.

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Apple supplier, Quanta, is apparently planning to resume production in a staggered manner for the MacBook Pro notebooks from its plant in Shanghai, China. Notably, the news arrives after the region saw a lockdown.

According to a DigiTimes report, sources close to the matter stated that the supplier of the Cupertino based giant is seeing higher order pull ins from its production site in Shanghai. In other words, the production of MacBook Pro models will likely rise in the near future, which should also imply that lead times for Apple customers will also be shorter. For those unaware, the delivery time of the new MacBook Pro models has been stretched following lockdowns in China in recent weeks.

As per known analyst Ming-Chi Kuo, Quanta is the sole supplier of the company’s MacBook Pros. Thus, the delivery times for the higher end laptops rose by around three to five weeks due to the lockdowns in China. Meanwhile, some MacBook Pro configurations are not even available for delivery until late June 2022 or possibly till early July 2022.

While the production of the MacBook Pros is slowly resuming again, supply issues are still expected to affect the product sales for the third quarter of this year. Just last week, Apple had also stated that lockdowns in China, rising price of raw materials, and even shortages of semiconductors have made it difficult for the company to keep up with the high market demand.

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Recently, China implemented a local lockdown in Zhengzhou city. This region is close to an Apple iPhone manufacturing site, which has raised concern for the company’s smartphones supply chain.

According to a Bloomberg report, certain areas in the Zhengzhou Airport Economy Zone have been put under a quarantine zone. In other words, people living in the area are not allowed to move outside of their homes. Furthermore, this Airport Economy Zone is also where Foxconn’s largest iPhone assembly plant is located. For those unaware, the Taiwanese company is the Cupertino based giant’s largest iPhone supplier. So, the local lockdowns may very well impact the production of iPhones.

Notably, the lockdowns arrive after employees have begun going through mandatory COVID testing. Additionally, the country has been implementing lockdowns in an attempt to curb the spread of coronavirus outbreaks. While the iPhones haven’t been directly affected so far, there is already a shortage issue with MacBooks. Apple’s other suppliers like Pegatron and Quanta had also recently halted production on the eastern side of China due to these quarantines.

Just last month, even Foxconn had been forced to stop production for several days from its Shenzhen facility after a city wide lockdown was imposed. And now, it seems that a similar incident might occur again due to rising cases of COVID. Although, it remains to be seen if production halts in this region as well.

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Foxconn, one of the the primary Apple supplier, has restarted the production from its manufacturing site in Shenzhen, China. The resumption of operations follows after the lockdown in the region was lifted partially.

The Taiwanese supplier told Reuters that it has currently restarted production and operations in a limited manner from its Shenzhen site. To reopen the facility, the company has met every government conditions, while also providing the staff a place to live and work, within a bubble of arrangements. In other words, the firm has set up a “closed loop management” system. A similar system was also adopted for the Winter Olympics that took place in Beijing.

In a statement, the Apple supplier stated that “Some operations have been able to restart and some production is being carried out. This process, which can only be done on campuses that include both employee housing and production facilities, adheres to strict industry guidelines and close loop management policies issued by the Shenzhen government.” At the moment, it is currently unknown which Apple products Foxconn builds from its two plants in Shenzhen.

Although, the company is known to be the largest assembler for iPhones. The firms added that factory shutdowns have caused delays in deliveries, meanwhile logistical difficulties have made it even hard to ship the products to customers across the globe. Apple had recently stated that the ongoing chip shortage 6 billion US Dollars in the last quarter of 2021 alone.

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Apple has apparently raised the production of Mini LED chips and has brought in additional manufacturers into its supply chain to help meet demand for its new orders of Mini LED displays. These new panels are reportedly for the company’s upcoming lineup of devices that are set to launch later this year.

Recently, the Cupertino based giant has begun using Mini LED panels for some of its products. This includes the Pro Display XDR, the 12.9 inch iPad Pro, and the top end MacBook Pro. Now, the company is expected to further expand the use of Mini LED for its future products that will be launching later in 2022. These new devices may include the likes of the new 11 inch iPad Pro, 27 inch iMac Pro, the new and redesigned MacBook Air, and even another external display as well.

At the moment, Taiwanese supplier Epistar is currently the iPhone maker’s primary supplied of Mini LED chipss. However, since Apple is raising the number of devices that use this display technology, it has sought to bring in additional suppliers. According to DigiTimes, the news arrives from industry sources close to the matter. The new suppliers reportedly include China’s Sanan Optoelectronics, which is significantly undercutting the prices of Apple’s current suppliers.

The report added that Apple’s demand for Mini LED display is “expected to significantly increase in 2022” following the success of its high end MacBook Pro. So, Epistar is expanding its production facilities in China to ramp up production, starting in the second quarter of 2022. Furthermore, Sanan Optoelectronics is also expected to begin shipments around the same time.

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A new report has suggested that BOE might be the firm that will supply Apple with OLED LTPO displays for its higher end iPhones in 2023. The panels will be for the iPhone 15 Pro series.

According to The Elec, the Chinese display maker will be producing and supplying OLED LTPO panels to the Cupertino based giant next year. The company was previously unsuccessful in supplying OLED screens for the iPhone 12 series, but did manage to enter the supply chain for the current gen flagship iPhone 13 lineup. However, it only made panels for the base model, while the higher end Pro variants were supplied by Samsung Display.

But now, this might change as BOE is looking to expand its OLED LTPO panel manufacturing to allow production of up 120Hz refresh rate screens. In other words, this report also suggests that the iPhone 15 Pro will feature 120Hz variable refresh rate. With the upcoming iPhone 14 series, BOE will continue to supply displays for the lower end model while Pro variants will still be supplied with Samsung and LG.

Although, the iPhone 15 series will only launch by next year, meanwhile, the iPhone 14 series is arriving in the second half of this year. It is expected to finally bring a redesign to the iPhone design and include a pill shaped cutout on the front for its selfie shooter and TrueDepth system. Previously, we had event reported on BOE supplying the company with 15 inch OLED displays for its future iPads. So it seems that the firm is moving up the Apple supply chain.

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Apple has apparently raised its focus on its Chinese suppliers. The company will be shifting its orders from its primary Taiwanese supplier Foxconn to China based Luxshare.

The Cupertino based giant is rumored to have made a secret deal with the Chinese government. This deal would have the former invest in local companies. Furthermore, new details from The Information have revealed that Apple is moving more of its orders to China based companies due to this deal. The report adds that the brand’s CEO Tim Cook is making taking this step to aid Beijing in expanding its local tech industry.

As of right now, the company’s AirPods earbuds are assembled by Luxshare, which was previously made by Taiwan based firms. In other words, Taiwanese suppliers no longer held a monopoly. This even enabled Luxshare to jump up the ladder of Apple’s supply chain. So, it doesn’t seem far fetched to say that Luxshare might soon dethrone Foxconn’s top seat. As per the report, the deal between the iPhone maker and China is worth 275 billion US Dollars.

Additionally, the investment deal is Apple’s attempt to “curry favor with Beijing.” For those unaware, China is a key region for the company, with the market accounting for 20 percent of its revenue and more than 15 percent of all iPhone sales. Keep in mind that this is still unconfirmed so take it with a pinch of salt for now and stay tuned for more updates regarding this matter.

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The supply of the Apple iPhone 13 series seems to be improving as the production is finally balancing out with demand. With the expected delivery times also shortening, prospective buyers are also seeking out higher end iPhone 13 models.

The news arrives from known investment bank JP Morgan (Via AppleInsider). Samik Chatterjee, the lead analyst from JP Morgan, stated that the lead times for the iPhone 13 mini, iPhone 13, iPhone 13 Pro, and iPhone 13 Pro Max stabilized in the fifteenth week. As of right now, the delivery times have averaged out to 3, 3, 5, and 3 days respectively for the models mentioned above. Notably, this is nearly the same as the 2, 2, 5, and 5 days delivery time from the previous week.

Talking about the US market, which is also the largest market for iPhones, lead times for the higher end iPhone 13 Pro and iPhone 13 Pro Max stabilized around one to two days. On the other hand, iPhone 13 mini and iPhone 13 dropped to 0 days. Meanwhile in China, another key region for the Cupertino based giant, Apple iPhone 13 lead times settled to 0, 0, 5, and 1 day in the fifteenth week. These are clear indications that Apple’s supply chain is catching up with the demand.

While the overall lead times for the entire lineup have improved, the premium variants still have a slightly higher delivery time. Chatterjee further added that the supply balancing with demand is a positive from Apple for the fourth and final quarter of this year. Furthermore, the optimal inventory levels would likely be reached by the brand in the first quarter of next year.

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Foxconn Chennai (India) has been put on Apple’s “Compliance Watch list” following the recent food poisoning fiasco that gathered international headlines. For those unaware, Foxconn is a Taiwanese multinational electronics contract manufacturer and the largest assembler of iPhones for Apple.

A recent report by Reuters on December 30 reveals that the 250 female workers who faced food poisoning in this event lived in overcrowded dormitories, there were no flush toilets, and sometimes bugs crawled in the food.

This, however, was a general phenomenon for many years, as stated by the six women workers who were interviewed. Things became serious when 250 workers were impacted by these working conditions, which led to a unique protest, leading to the factory’s closure for rectification.

The workers also revealed that they sleep on the room floor, which can accommodate 6 to 30 people. The law governing the housing of females in Tamil Nadu, India, requires that each person have at least 11 square meters of living space and that the housing complies with the sanitation and fire safety standards set by the local government.

These protests come at a time when Apple is looking towards expanding its iPhone 13 production in India as it seeks to reduce its reliance on China amid increased tension between America and China trade relations, and the shareholders have urged the company to increase the transparency of its suppliers.

As the factory has been shut down, Apple spokesperson said that “before the factory restarts, Apple will ensure that it meets strict standards.” however, the spokesperson did not disclose information regarding the improvements that need to be made or what standards need to be met.

On the other hand, Foxconn is reorganizing the local management team and is taking immediate measures to improve the living facilities of its workers. The company also stated that all its employees would continue to receive their compensation while the factory reopens and the necessary improvements are made.

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(Source)

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It seems that Foxconn‘s, a major Apple supplier, issues have yet to subside as it extends the shut down of its factory in India. The news arrives as the local government has begun inspecting the hostels and living quarters of the factory workers.

Previously, we had reported on Foxconn shutting down its plant in India over a case of food poisoning that had affected more than 250 women that were working at the plant and were living in one of the hostels. This causes protests to erupt near the factory, which lead to the suspension of operations in the site. Now, the prior week long closure has been further extended as an investigation has begun into the workers’ hostels.

According to a Gadgets360 report, the recent incident had revealed the living conditions of these workers, especially women, that were staying in these hostels in South India. Thus, Apple’s Taiwanese supplier and others tech firms, including some contractors that provided food and living facilities, were summoned for a meeting by local authorities. The latest update arrives from an official close to the matter who added that the state government has asked Foxconn to review services being provided to the workers.

This includes necessities like power backup at the hostels, food, and water. The Directorate Of Industrial Safety And Health also recommended providing recreational facilities like TVs, a library, and indoor games as well. Another source revealed that Foxconn told government officials that it had “ramped up production too quickly” but will now first upgrade workers’ living standards before pushing for full capacity at its factory again.

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Luxshare, one of the Apple suppliers, is building an enormous new iPhone factory in China. The new factory would help boost its iPhone assembly capabilities to better rival other suppliers like Foxconn and Pegatron.

According to a Nikkei Asia report (Via AppleInsider), the supplier of the Cupertino based giant is apparently setting up a massive 285,000 square meter manufacturing facility in Kunshan City, China. Furthermore, the firm plans to complete the first phase of the new giant site in the middle of next year and production of iPhone models could begin sometime later in the same year. Luxshare is investing a sizeable 1.73 billion US Dollars in this project.

Through the new plant, the company would be able to boost its iPhone assembly even further, with its volume production expected to rise from 6.5 million units to 12 million or even 15 million units by 2022 end. To put things into perspective, the new manufacturing park spans a whopping 40 football fields. Notably, Luxshare has also leased and renovated a nearby plant that was previously owned by an iPad assembler.

With the announcement of this huge plant, Apple’s supply chain might see a major shift as iPhone assembly is seeing a move from Taiwan to China. Earlier this year, Chinese partners accounted for around 33 percent of all the new suppliers that Apple added to its supply chain list. As of right now, the company relies on Taiwanese suppliers like Foxconn and Pegatron for the majority of its iPhone assembly, with the former being responsible for 60 percent of the smartphones and the latter accounting for around 30 percent.

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Apple supplier Foxconn has apparently just shut down its plant in India. The site in question is in Chennai in southern India and will remain shut this week over recent protests.

According to a Reuters report, protests erupted in the facility that began due to a food poisoning incident. The news arrives from three government sources close to the matter who stated that the factory appeared deserted on Tuesday. The place only had a few cars, which includes a police vehicle that was parked outside. Furthermore, there were no works seen at the site, with only two guards on their posts and a few other security officials being seen.

Unfortunately, Apple and Foxconn have yet to offer any statements regarding this incident. On the other hand, the disruption in the Foxconn’s plant arrives as the Cupertino based giant is dealing with a supply chain bottleneck that has already impacted production for its various electronic gadgets. Back in October, the company had even stated that the supply chain issues would worsen during the holiday season as well.

According to a senior official at the directorate of industrial safety and health in Tamil Nadu, “The factory has been shut since Saturday and will be shut till coming Sunday.” Two other officials also confirmed this news. Meanwhile, local police released dozens of detained individuals that were blocking key highway after the food poisoning incident from last week that led to 150 employees being admitted to a hospital. The site in question produces iPhone 12 models in India, with trial production for iPhone 13 series also being underway at the moment.

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With the arrival of the fourth quarter of a year, the market usually sees a rise in smartphone production to cover sales during the holiday season. But now, Apple seems to be facing various supply chain issues that has caused it to slow down the production of its iPhones.

According to a Nikkei Asia’s ‘Nightmare Before Christmas‘ report, the Cupertino based giant’s primary suppliers Foxconn, Pegatron, and others have slowed down production for the first time in over a decade. Apparently, the suppliers’ workers are getting more off time, rather than overtime, which is common during the year end period. Nikkei added that “two years of lockdowns, chip shortages, and energy cuts have finally caught up with the iPhone maker.”

For those unaware, workers usually work overtime during the holiday season as the period generally records some of the highest sales for the iPhone maker. Furthermore, Apple CEO, Tim Cook, had previously said that the supply constraints back when the new iPhone lineup launched had also costed the company a whopping 6 billion US Dollars. The primary reason for this shortage was due to the ongoing global shortage of chipsets. Nikkei’s report further added that the brand had to cut the 2021 iPhone production target by more than 10 million units after Broadcom and Texas Instruments were enable to deliver the required components.

In other words, the lack of even the smallest components can cause a major delay. The ‘Nightmare before Christmas’ report even had Nikkei dive deep by interviewing over 20 industry executives to find out what caused the company’s production to take a hit. As of right now, the production goal is still short by 20 percent of Apple’s original target as its struggles with the restrictions on power in China, lockdowns in Vietnam and Malaysia, and supply constraints due to the rising demand for chips in the market.

Notably, the iPad production fared even worse with the company producing only 50 percent of its original estimations. The shortage for parts stretched till the month of November , so customers who order now, would likely be unable to get their new tablet by the time for Christmas. Delivery times for some of its most popular electronic gadgets have also reached till January 2022 now. On the other hand, sources close to the matter have stated that the company is apparently asking its suppliers to reaccelerate iPhone production for the month of November, December, and January.

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Apple suppliers in China are currently struggling to keep the production on schedule amid widespread power outages in the region. The suppliers are scrambling to keep production on track prior to the arriving holiday season.

According to a NikkeiAsia report, the widespread outages of power in China are the latest reasons that have caused tech giants from shifting their production away from the Asian country. As of right now, the suppliers of the Cupertino based giant, Amazon, and more are struggling to keep production on track. A source talked to Nikkei and revealed that power outages has been hitting on irregular intervals since mid September.

But now, these suppliers have been receiving notices every week notifying them regarding, which days in the following week will face a power cut. Reportedly, Apple suppliers have warned that the power cuts are threatening the supply chain, but these disruptions might last till the end of this year or possibly even longer. Furthermore, another issue is that the suppliers do not know which firms will receive power and which won’t.

The report added that another Apple supplier stated that local governments are deciding where to provide electricity based in part on the value of the products being manufactured. The news arrives as the company seeks to boost initial production of its iPhone 13 series to 90 million units through the end of this year. This marks an increase of up to 20 percent over the 75 million units of the iPhone 12 series that launched back in 2020.

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Apple is apparently facing issues in keeping up with demand for its newly launched iPhone 13 series. A new report has revealed that the delivery times for the new iPhones have extended even further due to the impacts of COVID-19.

According to a Reuters report, sources close to the matter have revealed that the delivery times for the new smartphones from the Cupertino based giant are longer than expected as a wave of Coronavirus infections have impacted Vietnam. In other words, it has caused issues in supply as components for the iPhone 13 lineup are assembled in the region. This includes the new camera module for the 2021 iPhone series.

The report further added that this disruption is expected to ease as early as mid October. As of right now, the impact of the new infections has affected supplied of camera modules for all four of the new iPhone 13 series models. These are assembled in Vietnam, so the wait times for your new iPhone might be longer. This is all the information available regarding this matter, so stay tuned as we will be covering any notable developments.

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Apple supplier Foxconn is apparently racing to hire a large number of new workers for the world’s largest iPhone factory that is situated in China. The company is rushing to hire a whopping 200,000 workers ahead of the iPhone 13 series launch.

According to a SCMP report, one of the major suppliers of the Cupertino based giant has started fast track recruitments for 200,000 workforce that it currently need to fill in by the end of September 2021. The news arrives as we reach close to the launch date of Apple’s latest iPhone 13 lineup.  As per the Foxconn site’s deputy manager, the process of hiring additional workforce is the “biggest bottleneck” as of right now. Although, Wang says that he is confident that the production site, which is also referred to as “iPhone City” can achieve this goal a the current speed of recruitment, which is also being supported by the local government.

Notably, the large facility can house as many as 350,000 assembly line workers and produce up to 500,000 smartphones a day. Furthermore, in the central Henan province, various local governments have also started processing new recruits for the massive iPhone production facility. These local governments have also employed 100 buses to “pick up job applicants from their communities and drop them at the factory gates.”

This recruitment drive is likely to better prepare for the projected demand for the next gen iPhone lineup. The new recruits would enable Foxconn to better adhere to the production schedule for the iPhone 13 series. Apple is reportedly targeting to ship somewhere between 130 to 150 million units of the new iPhones in the second half of this year alone and its current supply chain in Asia would be able to produce 90 to 100 million units to meet the initial orders for the new smartphones.

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With the Apple iPhone 13 series expected to arrive with major camera upgrades, the suppliers have been facing increased pressure to provide the company with key lens components.

According to a DigiTimes report, the Cupertino based giant has apparently sent a notice to Taiwan based suppliers of VCM (voice coil motor) to increase their capacity by 30 to 40 percent in order to meet the demand for the upcoming iPhone lineup. This, in turn, implies that orders from the company could surpass the demand from the entire Android market this year, as per sources. On the other hand, this is also implies that the iPhone maker is focusing on the camera department for its upcoming flagship series.

The sources also added that the iPhone 13 series are expected to have upgrades in camera modules and 3D sensors for Face ID. This means that Apple has to increase the use of VCMs, which would have the company ask its component suppliers to raise their capacities by 30 to 40 percent in order to meet demands. Furthermore, these orders are also expected to begin surging soon as early as next month.

Meanwhile, the VCM orders from the Android market has reduced, with the US sanctions against Huawei being one of the reasons. With each passing year, Apple iPhones have required more VCM components, which are involved in camera lens focus function, since the company has been increasing the number and quality of its sensors. The iPhone 13 lineup is expected to be announced in the fall of this year.

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U.S tech giant Apple recently released a list of the top 200 suppliers in 2020 and it shows the presence of a number of Chinese suppliers. In the wake of the trade dispute between China and the US, Apple began moves to shift the bulk of its iPhone manufacturing from China to other countries like Vietnam. While there was a reduction in the number of suppliers in 2019, the numbers of Chinese manufacturers that are part of Apple’s supply chain increased to twelve in 2020, the official record shows.

The top 200 list is also a pointer to the increasing importance of mainland Chinese manufacturers in Apple’s supply chain. In terms of regions, mainland China has the highest number of new companies added to the list.

In Taiwan, China, six new companies were added and six companies were also removed. The newly added companies include the leading thermal module companies Shuanghong, Kangkong, GIS, Maolin, Jiaze, and Jing Technology. While Zhenglong, Pegatron’s Fuyang Technology, and TPK’s mainland subsidiaries – Jingjia Optoelectronics, Darfon, Meilv, and Mingxiang Technology didn’t make it as Apple suppliers in 2020.

Further, Hong Kong-based supplier, Shanghai Industrial Holdings returned to the supply chain list after its removal the previous year. However, domestic suppliers Artesyn Technology, Cathay Pacific, and Chuangliang Technology were absent from the list.

The list also shows that Apple has got some new suppliers in the US and this includes Universal Semiconductor. On the other hand, Viavi Solutions, known for the supply of vertical-cavity surface-emitting laser (VCSEL) components, and Cypress Semiconductor were removed from the list.

Japanese manufacturers SMK Group and Sharp Group subsidiary Kangdazhi,  as well as Japan Seiko, and others were removed. were removed. Toshiba was replaced by the split Kioxia, and NGK Special Ceramics also made it into the list of new suppliers.

Apple also added a new South Korean component manufacturer – Samsung Electro-Mechanics, a supplier of RFPCB  while soft board manufacturer Interflex was removed, apparently replaced by Chinese suppliers.

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(source)

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LG InnoTek is raising its expenditure to ramp up the production of camera modules for Apple. The optical unit of the South Korean tech giant made the announcement earlier this week, raising investment to 547.8 billion won (roughly 496 million US Dollars) to secure and strengthen its production capacity.

According to TheElec report, the company announced that it will be raising its spending for its optical solutions arm near the start of every year. Back in 2019, its business spending was 282.1 billion won (roughly 255 million US Dollars), which was then raised to 479.8 billion won (roughly 434 million US Dollars) last year. This marks a 14 percent rise of expenditure over 2020. As per the report, the move from the company is likely due to the recent changes in the Cupertino based giant’s camera module supply chain.

For those unaware, Apple currently has two camera module suppliers, down from three. Chinese supplier O’Film was removed from its supply chain due to allegations of human rights violations against Uighur people. In other words, the O’Film orders have now been taken over by InnoTek and Sharp. At the moment, LG InnoTek primarily supplies camera modules for the higher end iPhone models. But now, the company will also be responsible for the cameras in the lower end models as well.

The South Korean supplier held a 50 percent market share in Apple’s camera module supplyu chain, which is now expected further rise now. Meanwhile, Sharp’s market share in the same category is expected to rise to 40 percent, up from mid 30 percent. Furthermore, three out of the four upcoming 2021 iPhone will feature the new sensor technology.

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Known analyst, Ming-Chi Kuo, has just revealed interesting details regarding Apple‘s plans for future iPhones and their camera modules. Apparently, the company will not be offering any major upgrades to its handset camera lenses till the iPhone 15.

According to a PhoneArena report, Kuo noted that the Cupertino based giant doesn’t plan on upgrading its iPhone camera lenses till the launch of the iPhone 15 series. In other words, we would reportedly not see any major upgrade on iPhone lenses till the year 2023. Back in 2020, Apple included a 7P lens with the wide camera on its new iPhone 12 lineup, which was an improvement over the 6P lenses used on the iPhone 11 series from 2019. This enabled the company to bring the aperture on the current models to f/1.6 from f/1.8 on the 2019 phones.

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As per Kuo, Apple suppliers Largan and Genius Electronics are currently competing to acquire a higher share of Apple’s lenses supply chain. This would have both firms likely compete by lowering prices to win over the iPhone maker. Kuo further added that “Our latest survey pointed out that Largan will increase the average capacity utilization rate of 1H21 from 50-55% to more than 70%, and will further bargain the ASP of mid-to-high-end iPhone lenses by about 15-25%. We believe that this price war will have a direct negative impact on Genius’ 1H21 order proportion, capacity utilization rate, and gross profit margin.”

Notably, the report also says that a new supplier is expected to join the lenses supply chain for Apple. This firm is Sunny Optical, which will provide 5P lenses for 2021 iPad and 7P lenses for 2021 iPhone models. At the moment, it is said that Sunny Optical will hold a 10 percent share for iPad lens supply and 15 to 20 percent for the iPhone lenses. This would add further strain on both Largan and Genius.

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Apple said that it will be investigating its Taiwanese contractor, Wistron, after a recent violent event that took place in its facility in India. The event occurred in an iPhone manufacturing plant in the Indian city of Bengaluru.

For those unaware, Wistron is one of the primary suppliers of the Cupertino based giant. It has been making the iPhone 7 model for the Indian market alongside the second generation of the iPhone SE as well. According to a Reuters report, a group of unidentified factory workers trashed the facility on the outskirts of Bengaluru over the weekend. The violent episode arrives after the employees demanded unpaid wages and better working hours, as per a local trade union representative.

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Furthermore, videos made by the employees have surfaced showcasing men breaking security cameras, windows, and other equipments with rods and sticks. At the moment, the police have arrested 149 people over the violence, according to a police officer. Notably, Apple has stated that it has dispatched additional staff and auditors to the facility. The company stated that, “Our teams are in close touch with the local authorities and we’re offering our full support to their investigation.”

Apple demands that its suppliers provide safe working conditions, and treat its workers with dignity and respect, act fairly and ethically, and use environmentally responsible practices” when they are making their products or are performing any services for the company. Wistron has stated that it was “deeply shocked” by the events and blamed it on “unknown persons … with unclear intentions.” It further added that “The company always abides by the law, and fully supports and is cooperating with relevant authorities and police investigations.”

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Apple iPhone 12 series has faced a healthy demand since its launch. However, it seems that the company has yet to catch up with supply as its production lines are straining to provide consumers with its latest flagship handsets.

According to an AppleInsider report, investment bank JP Morgan tracked the delivery times, which suggested that the demand for the iPhone 12 Pro and iPhone 12 Pro Max is still ahead of the company’s supply. Reportedly, this issue is not being reflected on the lower end variants in the series, including the iPhone 12 mini and iPhone 12.

As per analyst Samik Chatterjee, JP Morgan’s iPhone availability tracker has been witnessing a build up in lead times for shipments. In other words, the time for a customer to receive their iPhone Pro or Pro Max model has been rising. At the moment, the lead times for the iPhone 12 Pro has reached an average of 27 days across several regions. This is the longest lead time ever observed by JP Morgan, which has been tracking the lead times since the start of the iPhone 12 series’ launch.

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On the other hand, the lead times for the iPhone 12 mini and iPhone 12 decreased over the previous week. This is suggestive of a more humble demand from the consumers. As of the first week of December, both the lower end iPhones had a lead time of only 3 days, while the iPhone 12 Pro Max takes 23 days to reach customers on average.

In the US, the Apple iPhone 12 Pro and iPhone 12 Pro Max lead times have surged even further and reached 33 days and 25 days respectively. This is notable considering that the region accounts for about 35 percent of the global iPhone shipments. Although, in store pickup for all models only had a lead time of just a single day. In this regard, China, UK, and other European regions saw slightly better lead times in comparison.

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Despite being delayed, the Apple iPhone 12 series launched to a pent up market causing it to face a higher than expected demand. Now, suppliers for the Cupertino based giant are trying to meet the growing demand from carriers and consumers by ramping up production and starting overtime shifts.

According to industry sources, the iPhone suppliers are attempting to address the issue of limited stock for the latest flagship lineup in a number of markets. As per a DigiTimes report, even the delivery leads for the pre orders of the iPhone 12 series in certain regions are lasting for 2 to 3 weeks to even 3 to 4 weeks due to heavy bookings of from teelcom and channel operators.

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Notably, Apple iPhone assemblers Foxconn and Pegatron, along with camera module suppliers Genius Electronic Optical (GEO) are further adding overtime shifts and are also recruiting additional workers to ramp up their output. Furthermore, this crunch is also extending to the component related suppliers who have also been asked to increase their supplies, as noted by a source.

GEO is reportedly adding overtime shifts for its iPhone lineup for November and December, which is also the holiday seasons where demand usually surges. This overtime push also arrives amid the race between Apple, Samsung, and other Chinese smartphone manufacturers that are rushing to grab hold of greater market share at the expense of Huawei.

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A new research report from Ming-Chi Kuo has revealed interesting details regarding the launch plans for Apple in 2021. The report states that the Cupertino based giant will not launch a new iPhone SE in the first half of 2021, while the increased competition within its supply chain might cause a shift in standing among the suppliers.

The report from the known analyst also adds that the market is underestimating the impact of increased competition on Taiwan’s Genius Electronic Optical (GSEO). Furthermore, it is stated that the main reason for the GSEO’s revenue in October being lower than expectations was due to increased competition between Largan and Semco.

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As first reported by ITHome, while the market had expected a new iPhone SE model launching in the first half of 2021, Kuo’s report suggests that this might not be the case. The report also talks about increased competition within the supply chain of Apple. The primary reason for the delayed iPhone SE 2021 launch is still unknown. Although, the report states that the market is overestimating the ultra wide angle lens orders GSEO might have received. In other words, GSEO is expected to have its orders fall from 50 percent of the iPhone 12 series to 30% of the iPhone 13 series.

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San’an Optoelectronics, a China based LED chip maker, might soon be one of the sources in the supply chain of Apple. This would put the Chinese firm in direct competition with another Taiwan based chip maker that also develops mini LED backlighting applications which might be seen in the upcoming iPad and MacBook models in 2021.

According to a DigiTimes report, Sanan had lagged behind Epistar for about a year in terms of the development of mini LED technology. But with recent progress, the company might finally be beginning the production of mini LEDs by the end of 2020. These will then likely be certified by mid 2021 and can enter the Cupertino based giant’s supply chain by 2022.

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For those unaware, Apple is reportedly set to acquire mini LED backlighting for its iPad Pro from Epistar, who is their sole supplier as per industry sources. The upcoming generation of products from the brand is expected to feature mini LED in various different categories like tablets to computers, so it would seem likely that the company will have more than one supplier.

Thus, with Sanan making leaps in its developments of the display technology it would soon be a viable supplier to Apple. Although, another important factor to consider is that even if it does manage to start mini LED production by 2021, the yield rates will be crucial to whether or not Apple starts ordering from the Chinese company.

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China based firms have joined the supply chain of Apple for the production of new iPads and Apple Watches, according to industry sources that are close to the matter.

As per a DigiTimes report, Luxshare Precision Industry is the secondary supplier of the new Apple Watch Series 6 while BYD is one of the suppliers for its new Wi-Fi iPad series. At the moment, Foxconn Technology Group and Compal Electronics are the primary suppliers for both the new Apple Watch and iPad generations.

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However, due to the Chinese manufacturer’s production quality, pricing, and cooperation, the Cupertino based giant is likely to shift more orders towards Luxshare and BYD. Furthermore, Compal is also expecting its non-PC products shipments to grow in the second half of this year, which is likely to be achieved through tablet shipments that have grown significantly due to the coronavirus pandemic that has shifted productivity to homes for both education and work.

The move from Apple arrives amidst the growing frictions between the US and China. The company is also seeking to grow the number of Chinese suppliers to satisfy the local demand in China while relying on Taiwanese manufacturers for various markets outside of China. Similarly, it also has its assembly partners to make its products in other regions like India and Vietnam.

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Apple is working on building a local supply ecosystem in China for iPhones sold strictly in that region. A new DigiTimes report stated that the company is looking to add more China based manufacturers for the local market.

One such manufacturer includes Luxshare, which has already set up manufacturing plants in China from Taiwan’s Wistron. Another Chinese firm is Lens Technology, who is sourcing metal chassis plants from Taiwan as well, to expand the iPhone’s presence. Furthermore, the Cupertino based giant is also continuing to add more Chinese suppliers to source its iPhones.

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For those unaware, Luxshare is already a part of Apple’s supply chain for the popular AirPods. Although now, it has become a bigger partner in the smartphone maker’s product ecosystem. So far, Apple has mostly employed Taiwanese firms in this position that have dominated its supply chain, but this might shuffle up the sourcing structure in Asia. Notably, India has also become a site for iPhone 11 production, marking the first time Apple is producing a flagship device outside of China.

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Apple has apparently vowed to become carbon neutral entirely by 2030. The Cupertino based giant has announced its plans for the move, which will be universal across its entire business to achieve the goal in the next 10 years.

According to Apple, “zero climate impact” is the end goal. The company will work with suppliers to reach complete carbon neutrality by 2030. In other words, the company’s operations will have no impact on Earth’s climate. The 10 year long roadmap is based on a series of innovations that Apple is going adopt across its product design, supplier operations, and materials processing.

Meaning, it will also have its supply chain commit to a certain standard of eco friendliness. The company made the announcement in the 2020 Environmental Progress Report earlier today (22nd July 2020). Apple plans on reducing its emissions by 75 percent in the next 10 years, while also developing new carbon removal techniques for the remaining 25 percent of its carbon footprint.

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At the moment, the company reduces its carbon impact primarily by recycling. Apple said that its latest recycling innovation came with “Dave,” a robot that disassembles iPhones to collect rare earth materials. Dave is the newer generation, which arrives after the company previously introduced “Daisy” for the same task.

Furthermore, Apple also announced that it will be investing 100 million US Dollars into its supply chain, which includes its new US-China Green Fund partnership. This sizeable sum of funds will go towards strengthening the energy efficiency efforts for its suppliers. Apple claims that over 70 suppliers have pledged to use 100 percent renewable energy for the production of Apple product’s components.

Apple CEO, Tim Cook, stated that “the innovations powering our environmental journey are not only good for the planet — they’ve helped us make our products more energy efficient and bring new sources of clean energy online around the world. Climate action can be the foundation for a new era of innovative potential, job creation, and durable economic growth. With our commitment to carbon neutrality, we hope to be a ripple in the pond that creates a much larger change.”

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