Foxconn to manufacture Apple's iPhone - report

[AppleInsider]

Foxconn Electronics, the registered trade name of Hon Hai Precision Industry Co Ltd, has secured a contract with Apple Computer to manufacturer its first mobile handset that will also dual as a digital music player, according to an overseas report.

The Chinese-language Commercial Times on Wednesday cited Taiwan-based sources within Apple's iPod component supply chain as saying the phone is due to arrive during the first half of next year.

The paper offered no other details of the phone or contract between the two companies, other than to say the initial build order was for some 12 million units.

According to the same report, Foxconn has also assumed the role of Apple's third notebook manufacturer and will soon begin churning out 15-inch MacBook Pros for delivery by January.

Asustek, which manufacturers Apple's 13-inch MacBooks, will not be affected by the Foxconn win, the report states. It's unclear if the deal will place any burden on Quanta Computer, that Taiwan-based firm that up until now has been Apple's sole supply of 15- and 17-inch MacBook Pro systems.

Analysts on target

Apple's order for 12 million handsets falls in line with predictions presented in a September research report released by investment firm PiperJaffray. In the report, analyst Gene Munster said he expected Apple to release an "iPhone" within the next 4 to 6 months that would sell between 8 million and 12 million during the its first year. He later said the Cupertino, Calif.-based company was likely timing the launch of the device with market precision.

Over the last twelve month, several other Wall Street firms have weighed in with expectations that Apple would soon introduce a cell phone capable of also acting as a digital music player.

UBS Investment Research's Ben Reitzes was one of the first to suggest Apple had much to gain from going after the 800+ million unit per-year handset market. Reitzes was later joined by analysts at several other firms, including American Technology Research, Merrill Lynch, Bank of America, Citigroup, and Prudential.

One analyst high in his convictions over an Apple-branded cell phone is American Technology Research analyst Shaw Wu, who in September said the device had progressed to near completion as a production unit.

"The design will be an iPod nano-like candy bar form factor and come in three colors (we are not certain of the exact colors but we suspect black, white and platinum, similar to Apple's current color scheme of iPods and Macs)," he wrote in a note to clients.

Analysts at Prudential have also weighed in with their findings on the iPod cell phone initiative, stating in an October report that Apple would initially produce two models -- one being a smart phone, which would include an integrated keyboard, video and music capability, while the other model would be slimmer with only music functionality.

For Apple, the secrets already out

For its part, Apple in recent months has uncharacteristically relented in its strides to keep the cell phone initiative a secret. After chief executive Steve Jobs was overheard blabbing about the project to his chorines, chief financial officer Peter Oppenheimer all but told a teleconference filled with analysts, "hey, we're working on it."

Of course, there's also the company's numerous filings for an "iPhone" trademark.

[ View this article at AppleInsider.com ]

[crees!]

Oh man, bring it on!

[JupiterOne]

Assuming this is true, what does this mean in terms of how far along in development this thing is ? In other words, how far in advance are these contracts secured before they actually start manufacturing? Months? Years?

[jwyatt]

Job's has supposedly approved mock-ups and production is ready to start with introduction at Macworld 07... let's hope; I've been holding off on a new phone purchase for 2 years.

[Robin Hood]

If the phone supports i-mode and 3G, and the price is competitive, I will definitely get one.

[mariofreak85]

Originally Posted by Robin Hood

If the phone supports i-mode and 3G, and the price is competitive, I will definitely get one.

I don't care what network or what price. I'm getting one!!

[-dF]

I don't care if it's poo wrapped in tin foil with fish hooks sticking out of it - I'm getting one!

[Ireland]

Originally Posted by -dF

I don't care if it's poo wrapped in tin foil with fish hooks sticking out of it - I'm getting one!

...lol

[Superbass]

Any idea if Foxconn is still combining Taiwanese-quality with Vietnamese sweatshop conditions? This is from June's wired :

Sweatshop Labor

Foxconn Electronics, a factory located in China that supplies $20.7 billion worth of products annually to Apple, Dell, Hewlett-Packard, Intel and Sony, and other top name brands, has come under criticism for alleged labor violations. According to British newspaper the Mail on Sunday, labor rights violations at Foxconn Electronics include the following:

* Wages below the legal minimum, with workers reportedly earning $50 a month
* Routine work shifts of 15 hours
* Poor and unsafe working conditions
* Inadequate dormitories

China Labor Bulletin research director Robin Munro stated, "They're not sharing proportionally in the benefits and profits in this huge globalization effort…. The only reason they can survive in these cities is because all they do is work." Foxconn states that there are huge discrepancies between the truth and allegations cited in the report.

-- Associated Press, 06/16/2006
Source URL: http://www.wired.com/news/technology...n_technology_1

[jwyatt]

Originally Posted by -dF

I don't care if it's poo wrapped in tin foil with fish hooks sticking out of it - I'm getting one!

I'm laughing uncontrollably....I agree 100%. After waiting this long I don't care what the damn thing looks or smells like.

[Ireland]

Here's two i drew 6 months ago:





On both suggested models the green phone icon changes to red when on a call. It must be press to hang up, and the touch sensor is so clever it can tell the difference between your face and your thumb, so you wont hang up be accident, that and the sensor inside can tell if there is much light getting to the front of the phone, so it takes this and the time of day into account too before it decides if you really wanted to hang up Both models have touch sensitive numbers too.

[BEatMaKeR]

I assume this will not be available to Verizon customers because of the Vcast competition... and T-mobile and Cingular customers will have all the fun.

Anyone think the preverbal iPhone will coincide with the 6G iPod release or do you think the iPhone will be the 6G iPhone?

[jedd88]

I, too, had been waiting patiently and as soon as the iPhone hits the streets, er, Apple's brick-and-mortar stores or online, I'm definitely getting one.

[jameshopkins]

Originally Posted by jdcfsu

Anyone think the preverbal iPhone will coincide with the 6G iPod release or do you think the iPhone will be the 6G iPhone?

The phone product will most likely be a separate product, iPod, iPod Nano, iPod Shuffle, iPhone? iPod Phone? iCell? iPDA? iLife Mobile?

[anantksundaram]

Originally Posted by BEatMaKeR

I assume this will not be available to Verizon customers because of the Vcast competition... and T-mobile and Cingular customers will have all the fun.

It will be T-Mobile, not Cingular. (Don't ask me how I know -- can't tell you).

[Wings]

I'm getting two of em, but unfortunately I have to wait until May when my Verizon contract expires. If the only phone available in May is the ZunePhone, I'd get two of those too -- that's how much I want to get away from Verizon.

[Johnny Mozzarella]

Originally Posted by -dF

I don't care if it's poo wrapped in tin foil with fish hooks sticking out of it - I'm getting one!

Sounds good but it better have Bluetoof.

[jameshopkins]

Originally Posted by anantksundaram

It will be T-Mobile, not Cingular. (Don't ask me how I know -- can't tell you).

Probably cus you made it up out of thin air!

[Johnny Mozzarella]

Originally Posted by anantksundaram

It will be T-Mobile, not Cingular. (Don't ask me how I know -- can't tell you).

Alrighty then.

Originally Posted by jameshopkins

The phone product will most likely be a separate product, iPod, iPod Nano, iPod Shuffle, iPhone? iPod Phone? iCell? iPDA? iLife Mobile?

Right, but even if it is a separate product do you think the release will coincide with the 6G iPod release?

[melgross]

Originally Posted by anantksundaram

It will be T-Mobile, not Cingular. (Don't ask me how I know -- can't tell you).

We've heard the rumors too. We've discussed it before.

[melgross]

Originally Posted by Johnny Mozzarella

Sounds good but it better have Bluetoof.

Is that something new? Or do you type with a lisp?

[jameshopkins]

Originally Posted by jdcfsu

Right, but even if it is a separate product do you think the release will coincide with the 6G iPod release?

I dont see why, they are two separate products. It's possible they might all come out at MW, depends how they intend to release the product, direct to customers or via phone companies. In the UK we can buy phones independent of carriers and fit our own SIM cards, phones cost quite a bit as with carriers they are subsidised. I believe it works differently in US?

[doemel]

I sure hope it won't be tied to one carrier exclusively! Because I don't need and I don't want a cell phone plan. I prefer Prepaid and won't change that anytime soon. If they do tie the iPhone to some carrier (which might only be available in the States) the rest of us would be fcuked. So, please Steve, if you read this, don't feed those rip off mobile carriers even more dough and instead just sell your iPhone as is without any subscription. I don't care if the damn thing costs 500$, I was ready to pay that much for my first iPod, I'll be ready to pay that for my first iPhone as well.

[pioneer01]

-dF - I don't care if it's poo wrapped in tin foil with fish hooks sticking out of it - I'm getting one!

You are getting confused with the Brown Zune

Ireland - Here's two i drew 6 months ago:

That is definately a PhotoShop job, I can tell

.

[mariofreak85]

Originally Posted by anantksundaram

It will be T-Mobile, not Cingular. (Don't ask me how I know -- can't tell you).

That's what I'm hoping for, either that MVNO

Didn't Cingular just start their own music service? Why would Apple want to go with them?

[JupiterOne]

Cool. Can't wait. I'm getting the brown one. 'Cause, ya know, brown is such the new cool color.

Originally Posted by jameshopkins

I dont see why, they are two separate products. It's possible they might all come out at MW, depends how they intend to release the product, direct to customers or via phone companies. In the UK we can buy phones independent of carriers and fit our own SIM cards, phones cost quite a bit as with carriers they are subsidised. I believe it works differently in US?

Yeah, it works the same here in the States. My only hunch that they would be more or less the same thing is all the rumors about the touch-less/screen iPod. I think, while it works for an iPod, it makes more sense for a PDA/BlackBerry/iPhone type device. So, with this report that Foxconn is making the iPhone, I think there will be more similarities between the iPhone and iPod 6G there there will be differences (as far as aesthetics goes). A MWSF launch would be nice. Steve spends 20 minutes showing off the iPod 6G and then, "one more thing" here is the same model but it's got the iPhone OS on it.

[jameshopkins]

Originally Posted by jdcfsu

Yeah, it works the same here in the States. My only hunch that they would be more or less the same thing is all the rumors about the touch-less/screen iPod. I think, while it works for an iPod, it makes more sense for a PDA/BlackBerry/iPhone type device. So, with this report that Foxconn is making the iPhone, I think there will be more similarities between the iPhone and iPod 6G there there will be differences (as far as aesthetics goes). A MWSF launch would be nice. Steve spends 20 minutes showing off the iPod 6G and then, "one more thing" here is the same model but it's got the iPhone OS on it.

Yeah that would make sense if it is all going touch screen, as it could display a touch screen number/keypad.

A real moving target for the zune to squirt at!

[Splinemodel]

Originally Posted by BEatMaKeR

I assume this will not be available to Verizon customers because of the Vcast competition... and T-mobile and Cingular customers will have all the fun.

I'm still hoping for them to support Sprint, or a Sprint-based MVNO. Cingular and T-mobile don't even have true 3G, and no 3G (or as it's known now "3.5G") will cripple the product. Imagine how stupid the Zune's wireless features would seem if the iPhone had 3Mbps file sharing to any of your friends, regardless of their location.

[melgross]

Originally Posted by doemel

I sure hope it won't be tied to one carrier exclusively! Because I don't need and I don't want a cell phone plan. I prefer Prepaid and won't change that anytime soon. If they do tie the iPhone to some carrier (which might only be available in the States) the rest of us would be fcuked. So, please Steve, if you read this, don't feed those rip off mobile carriers even more dough and instead just sell your iPhone as is without any subscription. I don't care if the damn thing costs 500$, I was ready to pay that much for my first iPod, I'll be ready to pay that for my first iPhone as well.

I doubt if Apple would do a prepaid service.

[melgross]

Originally Posted by mariofreak85

That's what I'm hoping for, either that MVNO

Didn't Cingular just start their own music service? Why would Apple want to go with them?

I'm sure Cingular is not displeased with the sale of the iTunes phones. In a recent interview, Bob Hyatt from there, said, in response to a question about them, that they had sold over a million of them. so, they were inspired to start their own music service, but it doesn't mean that they won't sell Apples' as well. They are also the largest cell company here.

Get to the bottom of the interview.

http://www.forbes.com/intelligentinf...2cingular.html

[jameshopkins]

Originally Posted by melgross

I doubt if Apple would do a prepaid service.

Apple MVNO? Could be an option. But doesnt sound like something apple would do.

It must be a nightmare trying to organise many different carriers, in many different countries.

[melgross]

Originally Posted by jameshopkins

Apple MVNO? Could be an option. But doesnt sound like something apple would do.

It must be a nightmare trying to organise many different carriers, in many different countries.

I came up with that as an idea over a year ago. I think it's a better bet than a prepaid service.

Originally Posted by melgross

I came up with that as an idea over a year ago. I think it's a better bet than a prepaid service.

I think the iPhone will either be MVNO or a straight SIM "unlocked" cell (which I think is more likely). That way they can sell it in their Apple Stores and you can run it on any carrier. Some carriers will be better then others, but it makes the most sense. Look at how successful the BlackBerry is, and it's offered by all the major carriers.

[mugwump]

What's a "chorines"?

Anyhow, it really, really, really, really needs the smartphone capabilities. Mobile OS X, mobile mail, mobile iCal, mobile Safari, mobile spotlight...

[jameshopkins]

Originally Posted by jdcfsu

I think the iPhone will either be MVNO or a straight SIM "unlocked" cell (which I think is more likely). That way they can sell it in their Apple Stores and you can run it on any carrier. Some carriers will be better then others, but it makes the most sense. Look at how successful the BlackBerry is, and it's offered by all the major carriers.

Yeah i think the SIM unlocked makes the most sense too. Apple will want to be able to sell it direct.

What do you mean some carriers will be better than others? Here in the UK, most of the carriers are pretty much the same, they all offer similar services, and are similar in price.

Originally Posted by jameshopkins

Yeah i think the SIM unlocked makes the most sense too. Apple will want to be able to sell it direct.

What do you mean some carriers will be better than others? Here in the UK, most of the carriers are pretty much the same, they all offer similar services, and are similar in price.

In the States each carrier basically has a different network. Some can handle bandwidth better then others, etc. The unlocked SIM phone is the best option for global sales, and why I think it makes the most sense. An MVNO would probably make more sense here in America, but would also probably fail.

[ChrisDaMacMan]

YAY I can finally get a new phone!! this damn brick D500.....I'm getting bored of it!