Apple has reportedly instructed component suppliers to withhold part of the component shipments prepared for the production of iPhone X devices, according to sources from Taiwan-based upstream component suppliers.
Suppliers are currently shipping parts and components that amount to only about 40% of the quantities originally planned for the initial production of iPhone X, said the sources.
However, despite the instruction for shipment slowdown, some suppliers still need to step up production to meet the 40% requirement due to low yield rates at their production lines, the sources indicated.
Apple adopted the same strategy previously for iPhone 7 in 2016 during which initial shipments of parts and components reached only about 60% of the materials originally required by the vendor, noted the sources, adding that Apple pulled in the remaining 40% of orders 1-2 months later.
Apple is waiting to see the pre-sale orders of the iPhone X as well as the sales performance of the iPhone 8 and iPhone 8 Plus before pushing the production of iPhone X into full gear, said the sources. |