Pegatron reportedly wins Apple contract for CDMA iPhone

Posted:
in iPhone edited January 2014
A Taiwan newspaper is reporting that Apple has awarded a contract for building a CDMA iPhone to Pegatron Technologies.



The report comes from DigiTimes, which has an uneven track record on Apple in general, but a slightly better batting average when discussing the details of manufacturing contracts.



In February, DigiTimes announced Pegatron had won the contract for building the expected next generation UMTS iPhone 4. Previous iPhones have been built by Foxconn, which also builds Apple's Mac mini, iPods and the iPad, and is the company's main supplier.



Rumors surrounding the possibly of a CDMA iPhone model that Apple could sell through Verizon and Sprint have regularly surfaced throughout the iPhone's entire history, and have recently blossomed as speculation about the end of AT&T's exclusive contract in the US has reached a fevered pitch.



At the same time, DigiTimes has also reported rumors of an upcoming new iPad with an OLED display, which are almost certainly wrong. The paper also incorrectly announced in late 2006 that Apple was working with AMD to deliver notebooks using its CPUs, and then reported last year that Apple was building a netbook for delivery in 2009.



Pegatron is a three year old Taiwanese company formed during a restructuring of Asustek, which resulted in a split between Asustek's own Asus-branded products, its PC-related manufacturing performed under the Unihan name, and contract manufacturing under the Pegatron name.
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Comments

  • Reply 1 of 61
    damn_its_hotdamn_its_hot Posts: 1,209member
    Very reliable source (good track record). I think I will wait and see- this should be a good re-rumor for those wanting other carriers but it sounds like the same ole stuff.
  • Reply 2 of 61
    quashquash Posts: 23member
    No T-mobile? This is Sacrilege!
  • Reply 3 of 61
    SpamSandwichSpamSandwich Posts: 33,407member
    Quote:
    Originally Posted by Quash View Post


    No T-mobile? This is Sacrilege!



    Tell me about it.
  • Reply 4 of 61
    MacProMacPro Posts: 19,776member
    Why would Apple use a new company and not the tried and tested? Color me not convinced.
  • Reply 5 of 61
    christopher126christopher126 Posts: 4,366member
    It's coming! Verizon will have the iPhone before the summer ends!



    The only thing that has changed in the last 6 months is the upsurge in Android/Droid usage. Albeit, due to '2-for-1' promotions, multiple carriers and multiple models.



    Google doesn't care about hardware (just like MS)...they will give it away to get the 'cream' which is advertising revenue.



    Google for that matter doesn't care about software either....they will give that away too. Again for ad revenue!



    So here we have Google giving away hardware (a la MS) and trumping MS by giving away the software...all for ad revenue!



    Apple has done well to stay above fray but needs to setup a 'superior, Apple-like' search engine of their own and hurry up an develop the iAd.



    Apple has superior hardware, software and now they need superior Search and target ad revenue!
  • Reply 6 of 61
    dhkostadhkosta Posts: 150member
    I don't buy it either. With Verizon rolling out LTE so soon, this makes little business sense for Apple.
  • Reply 7 of 61
    cvaldes1831cvaldes1831 Posts: 1,832member
    Smells fishy.



    No CDMA engineering hiring surge at Apple. Verizon CEO practically begging for the iPhone a couple of months ago (Apple partners normally clam up real fast when a deal is in the works). Selecting an unproven OEM PC supplier as the sole provider of a CDMA smartphone.



    I'm not buying it.



    I could see Apple testing Pegatron as the second supplier (next to Foxconn) for the next-generation iPhone, then eventually offering more work to Pegatron as it builds a good track record. To solely hand them such a (theoretically) important contract seems unlikely.



    DigiTimes has such a spotty record, I'm inclined to dismiss this as poppycock. Maybe this should be moved to the Backpage Blog.
  • Reply 8 of 61
    solipsismsolipsism Posts: 25,726member
    Based on source and history I have to assume this is completely false.



    Though I'd love for it happen, even though I'll be staying with AT&T.
  • Reply 9 of 61
    dhkostadhkosta Posts: 150member
    Quote:
    Originally Posted by christopher126 View Post


    Apple has done well to stay above fray but needs to setup a 'superior, Apple-like' search engine of their own and hurry up an develop the iAd.



    Apple has superior hardware, software and now they need superior Search and target ad revenue!



    I think iAd will have a slow start, as the FTC is reportedly gauging its assessment of Google's acquisition of AdMob by whether or not they'll have a significant ad competitor in the mobile space.
  • Reply 10 of 61
    cgc0202cgc0202 Posts: 624member
    Apple has almost reached most of the GSM carriers worldwide. The technology is there to develop iPhones for other "telecommunication systems", notably those using variants of the CDMA. If true, it is possible that such an iPhone may either be for Verizon or possibly for China Mobile.



    http://forums.appleinsider.com/showp...1&postcount=20



    In the United States, if such an iPhone will be developed, it might force AT&T and Verizon to compete more vigorously, in terms of their pricing. This may not always happen though because of the oligolopolistic market, where there are not enough competitors.



    Another issue, GSM is more widespread worldwide than the CDMA. This may be resolved when the converging upgrade technologies that will be used by both AT&T and Verizon in the near future.



    Quote:
    Originally Posted by DHKOsta View Post


    I don't buy it either. With Verizon rolling out LTE so soon, this makes little business sense for Apple.



    As noted by many CDMA users, and this post, there is a large market for CDMA phones -- China being one good example. It is also the case that almost all telephone manufacturers, including Nokia, RIMM, and all those Asian manufacturers produce both types of phones that work for either GSM or CDMA. So, this argument is not valid.



    Quote:
    Originally Posted by digitalclips View Post


    Why would Apple use a new company and not the tried and tested? Color me not convinced.



    Actually, Apple has done this in the past when its main product was the computer. The fact that Apple now has different manufacturers for some of its products attest to this. Since the CDMA is very different from GSM, maybe it was a good idea to have a different manufacturer. Note also that the "new company" is not really entirely new to Apple.



    Its use of multiple manufacturers has proven to be a salvation when there was a problem in one location either technical, worker issues or even due to inclement weather. Read the next post by sheff, also.



    CGC
  • Reply 11 of 61
    sheffsheff Posts: 1,407member
    Sounds legit. Manufacturing both at a single source would be risky, since any malfunction at one plant could hinder the supplies of another one. And since so many other iProducts are made at FOXXcon it would make sense to diversify. Plus there is a better chance of CDMA phones would create a surge in demand, that would put an even larger strain on foxxcon.



    I say this might be legit, but I think these phones will go to sprint rather then Verizon. Now that Palm is dead Sprint needs a new flagship phone. iPhone could be their last chance increase market share. Verizon seems to be very happy with Google-HTC and I don't think they want to piss any of those two off by selling the iPhone.
  • Reply 12 of 61
    monstrositymonstrosity Posts: 2,234member
    Quote:
    Originally Posted by digitalclips View Post


    Why would Apple use a new company and not the tried and tested? Color me not convinced.



    I'm not sold either.
  • Reply 13 of 61
    dhkostadhkosta Posts: 150member
    I'd like everyone to know that I'm loving the company of skeptics here. I usually feel pretty alone in my eyerolling at the CDMA iPhone rumors.
  • Reply 14 of 61
    commun5commun5 Posts: 36member
    This isn't the first time around for this rumor. All DigiTimes is doing, as far as I can tell, is recycling the March 29 rumor about Pegatron that was published in the Wall Street Journal. Which financial institution is trying to pump and dump Apple stock this week?
  • Reply 15 of 61
    junkiejunkie Posts: 122member
    Doubtful yet quietly praying.
  • Reply 16 of 61
    kolchakkolchak Posts: 1,398member
    Quote:
    Originally Posted by digitalclips View Post


    Why would Apple use a new company and not the tried and tested? Color me not convinced.



    Pegatron is not a new company. Read the article again. They are the OEM manufacturing arm of what used to be Asustek, which has been around for 20 years. I've built several PCs for friends using Asus motherboards and have been very impressed with their quality, design and features. I've also seen their CPU coolers (although I always spec Cooler Master for all the custom builds I do), DVD burners and netbooks. All quite solid. My own Hackintosh runs an Asus graphics card. Their manufacturing abilities are much better than you assume from your position of ignorance.
  • Reply 17 of 61
    monstrositymonstrosity Posts: 2,234member
    Quote:
    Originally Posted by Kolchak View Post


    Pegatron is not a new company. Read the article again. They are the OEM manufacturing arm of what used to be Asustek, which has been around for 20 years. I've built several PCs for friends using Asus motherboards and have been very impressed with their quality, design and features. I've also seen their CPU coolers (although I always spec Cooler Master for all the custom builds I do), DVD burners and netbooks. All quite solid. My own Hackintosh runs an Asus graphics card. Their manufacturing abilities are much better than you assume from your position of ignorance.



    I'm sure he meant 'new' as in not Foxconn. Try reading his post non-literally...
  • Reply 18 of 61
    jetzjetz Posts: 1,293member
    If it's true, then would that mean a CDMA iPhone would follow. Not necessarily launch at the same time. But CDMA in the Fall?
  • Reply 19 of 61
    justflybobjustflybob Posts: 1,337member
    I gots two words for ya:



    Yeeee UccccccK!
  • Reply 20 of 61
    bigdaddypbigdaddyp Posts: 811member
    What kind of name is Pegatron? Makes me think that Megatron is in a family way.

    I just don't see Apple doing a cdma phone this year.
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