Media reported that by 2021, Apple may have some parts of the factory to share more manufacturing tasks, such as the older iPhone models, to the AirPods wireless headphones and the Apple Watch smartwatch foundry Precision) to produce. Ming-Chi Kuo, an analyst at Tianfeng International Securities, predicted the change, citing a shorter production cycle for new iPhone products.
(Instagram via Apple Insider)
In addition to its traditional contract business, Lixun is also expected to receive orders for parts of the iPhone case, hoping to become Apple’s main supplier by mid-2021, it said in a note to investors on Wednesday.
For Apple, the move promises to reduce development and supply chain risk for the new iPhone. According to a study obtained by themedia MacRumors, Lixun is expected to start starting as a contract worker on older iPhone models.
In doing so, Apple could diversify its supply chain to expand the assembly and production of the iPhone and mitigate as much supply as possible (such as delays in production at some factories caused by the new coronal pneumonia outbreak).
It comes after Luxshare and Goertek were found to be seeking financial support to expand their plants in Vietnam.
At the time we thought we would only cover the airPods and AirPods Pro headsets, but that now seems to have changed.
Analysts also noted that Lixun Precision is expected to begin accepting the 2020 Apple Watch’s contract assembly in the second half of this year.
Despite earlier reports about the Apple Watch Series 6, the new Apple smartwatch will be produced by Foxconn and Compal Electronics, while Lixun will be responsible for assembling the old models.