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Apple to expand its supplier base as it looks to increase iPhone and iPad production

Apple is reportedly bringing more contract manufacturing partners onboard as it looks to increase production of the iPhone 5c and iPad mini to meet rising demand.

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Taiwan based Wistron Corporation is said to receive orders to manufacture the iPhone 5c later this year, according to a new report by The Wall Street Journal, citing people familiar with the supply chain. Apparently Apple wants to get Wistron onboard to increase iPhone 5c production, but this report comes at a time when it has been consistently rumored that there’s weak demand for the iPhone 5c. There have already been rumors of Apple cutting down iPhone 5c production, so a grain of salt is definitely advised.

Compal Communications, another Taiwan based supplier, is apparently going to receive orders to start production of the iPad mini early next year. This does make sense, considering the fact that there have been ample reports of iPad mini supplies being very tight. Apple still hasn’t revealed when it will release the iPad mini, analysts expect supplies to remain tight throughout the remainder of this year. Supply is expected to come in line with demand in Q1, 2014.

Apple is said to be adding new manufacturing partners amid labor scandals surrounding Hon Hai Precision Industry, commonly known as Foxconn. It is said that the constant scrutiny of Foxconn’s labor practices is “creating a headache” for Apple, so by the looks of things, the company might be gearing up to reduce its reliance on Foxconn.

Source: WSJ

Adrian Fonseca
Adrian Fonseca keeps a close eye on all Apple news, rumors, leaks and developments. In his spare time, he likes to read books.

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