Apple may look to MacBook Pro casing supplier Catcher to bolster iPhone 5s shell production
With reports that Apple's iPhone 5s will be severely constrained at launch, the company is now thought to be looking to an existing MacBook Pro unibody shell supplier to boost yields of the smartphone's metal casing, one analyst says.
Dovetailing with reports earlier on Tuesday that launch day iPhone 5s inventory will be "grotesquely" low, KGI securities analyst Ming-Chi Kuo said in a research note obtained by AppleInsider that Apple will try to boost capacity by extending metal case orders to Catcher, the company's current supplier of MacBook Pro unibody chassis.
Low yields of the iPhone 5s' metal case, especially the gold color option, and construction time associated with advanced components like the Touch ID fingerprint sensor are thought to be behind the allegedly constrained inventory.
The supply chain diversification is not expected to ramp up until 2014, however, meaning supply constraints may continue for some time.
According to Kuo, Catcher will start mass production and shipment of the iPhone 5s metal casings in the first quarter of next year, taking an 8 to 13 percent share of shipments for the period. Currently, Foxconn handles a bulk of casing production, with some industry watchers concerned the manufacturing behemoth will leverage its position as the handset's EMS supplier to nab all orders for the iPhone 5s. This is thought to be unlikely, Kuo said, as Foxconn itself is also trying to diversify, lessening its reliance on Apple.
With other Apple partner manufacturers handling metal shell production for the iPad, iPod and MacBook Pro, Catcher is seen as the most probably choice for expansion. For example, Casetek, which recently took on more responsibility for iPad mini case construction, is less likely to grab any part of the iPhone 5s' orders.
Exacerbating the alleged iPhone 5s supply constraints is Apple's expected continued reliance on metal, or more specifically aluminum, as its mainstream casing material for future devices set to roll out in 2014. Although it has been speculated that Apple will revamp its product designs to include carbon fiber or sapphire parts, Kuo believes the advantages of metal will keep the material relevant for the coming calendar year. Key benefits include flexibility with sophisticated form factor design, surface treatment options and cost.
Finally, the analyst notes Apple needs higher capacity output due to low yield rates for the popular gold and space gray iPhone 5s casings, color options that were both introduced this year. Kuo reiterates his expectation that iPhone 5s shipments will outstrip those of the iPhone 5c.
Dovetailing with reports earlier on Tuesday that launch day iPhone 5s inventory will be "grotesquely" low, KGI securities analyst Ming-Chi Kuo said in a research note obtained by AppleInsider that Apple will try to boost capacity by extending metal case orders to Catcher, the company's current supplier of MacBook Pro unibody chassis.
Low yields of the iPhone 5s' metal case, especially the gold color option, and construction time associated with advanced components like the Touch ID fingerprint sensor are thought to be behind the allegedly constrained inventory.
The supply chain diversification is not expected to ramp up until 2014, however, meaning supply constraints may continue for some time.
According to Kuo, Catcher will start mass production and shipment of the iPhone 5s metal casings in the first quarter of next year, taking an 8 to 13 percent share of shipments for the period. Currently, Foxconn handles a bulk of casing production, with some industry watchers concerned the manufacturing behemoth will leverage its position as the handset's EMS supplier to nab all orders for the iPhone 5s. This is thought to be unlikely, Kuo said, as Foxconn itself is also trying to diversify, lessening its reliance on Apple.
With other Apple partner manufacturers handling metal shell production for the iPad, iPod and MacBook Pro, Catcher is seen as the most probably choice for expansion. For example, Casetek, which recently took on more responsibility for iPad mini case construction, is less likely to grab any part of the iPhone 5s' orders.
Exacerbating the alleged iPhone 5s supply constraints is Apple's expected continued reliance on metal, or more specifically aluminum, as its mainstream casing material for future devices set to roll out in 2014. Although it has been speculated that Apple will revamp its product designs to include carbon fiber or sapphire parts, Kuo believes the advantages of metal will keep the material relevant for the coming calendar year. Key benefits include flexibility with sophisticated form factor design, surface treatment options and cost.
Finally, the analyst notes Apple needs higher capacity output due to low yield rates for the popular gold and space gray iPhone 5s casings, color options that were both introduced this year. Kuo reiterates his expectation that iPhone 5s shipments will outstrip those of the iPhone 5c.
Comments
I cannot see a reason why the gold or space gray casings would have lower yield than the silver or black. Anodizing is a very well understood process.
FUD?.
5c --- high yield but low demand, marketing problem
5s --- low yield but high demand, supply chain problem
Tim Cook can't do it worse !
what has Apple done in 2013 ? No single product release until 9/2013. And it turned out an old iphone 5 with colorful case, another minor upgrade on iphone 5. That's it ? No China Mobile deal, no bigger screen phone, no iWatch, no iTV. WHy is the board still keeping Tim Cook as CEO ?
It's almost as easy to use as plastic, because it can be injection-molded like plastic.
It would require little machining, unlike the current iPhone 5S machined from a billet.
It uses less energy to recycle because it doesn't need to be melted down to a fluid state.
But it's expensive (if Apple uses the alloy that includes platinum.)
Possible solution to expensive Liquidmetal alloy: Apple Store trade-in program.
Apple has established an iPhone trade-in program at their retail stores.
If enough future iPhone users trade their iPhones in at Apple, they could
recapture most of that Liquidmetal for re-use in next-gen iPhones.
The Liquidmetal alloy might remain more expensive than aluminum alloy, but
recycling through Apple stores could negate that.
Possible side benefit of Apple Store recycling: emerging market refurb sales.
If Apple could refurbish the electronics of traded-in iPhones, they could in theory
repackage those electronics in new enclosures (polycarbonate like iPhone 5C is now.)
And those refurbished, repackaged iPhones could be sold at lower cost in
emerging markets.
what has Apple done in 2013 ? No single product release until 9/2013. And it turned out an old iphone 5 with colorful case, another minor upgrade on iphone 5. That's it ? No China Mobile deal, no bigger screen phone, no iWatch, no iTV. WHy is the board still keeping Tim Cook as CEO ?
Let's hear it for the newbie troll!
Are you stupid or just an idiot? Get off our website.
He's right about the part you quoted. Why did you quote the part he got right and call him an idiot? Hm.
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Are you stupid or just an idiot? Get off our website.
Tell me what it released before 9/2013 ? Your brain has been damaged so severely that you can do nothing but denying.
Come on boys and girls, only IDIOTS and absolute IDIOTS would consider those trivial and absolutely trivial things Apple released before 9/2013 as innovative (or even a thing) ---- Even Tim Cook admitted the "real" "amazing hardware, software, and service" new products will start from Fall 2013. Anything it released before Fall 2013 were way trivial --- If you are thrilled about those things you are real idiot.
Tell me what it released before 9/2013 ? Your brain has been damaged so severely that you can do nothing but denying.
Quote:
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Ok, so is this not enough? New AirPort/Time Capsule with 802.11ac, new rMBPs, new MBA, slight bump with the iMac... yeah, they have done nothing. Oh, and why haven't they innovated anything this quarter, that must mean Tim Cook sucks and is a drain at Apple and Apple is dying /s.
Seriously, lay off the funny mushroom thing. It is affecting that portion of your brain that enables you to see facts
Come on boys and girls, only IDIOTS and absolute IDIOTS would consider those trivial and absolutely trivial things Apple released before 9/2013 as innovative (or even a thing) ---- Even Tim Cook admitted the "real" "amazing hardware, software, and service" new products will start from Fall 2013. Anything it released before Fall 2013 were way trivial --- If you are thrilled about those things you are real idiot.
No one has done 802.11AC yet, nor have they ever done anything in that form factor. That is called innovation. Have you looked at the Mac Pro? Again, no one has ever attempted anything like that. That is called innovation. Have you bothered to understand what goes into the MBP/MBA/rMBPs? Full unibody design using a solid piece of metal. That is called innovation. Using the same technique for Unibody on to hard plastic and it keeping its rigidity. That is called innovation.
Not every piece of innovation has to be a total game changer. Also, I might add this, when has anyone else even come close to innovating at the pace of Apple? No one.
And this doesn't even cover software!!
I have almost everything Apple has released and I don't own a single Android stuff. I am really disappointed by Apple's extremely slow and non innovative releases. We have to face this reality, Tim Cook is not suitable for his job. I bet if he resigned the stock will jump $50.
It is irrational and stupid to get upset when you see somebody offers different opinion. If you just like to hear things on your wish list and just use this forum as a confidence boosting platform, you already having some psych confusion issue.
Ok, so is this not enough? New AirPort/Time Capsule with 802.11ac, new rMBPs, new MBA, slight bump with the iMac... yeah, they have done nothing. Oh, and why haven't they innovated anything this quarter, that must mean Tim Cook sucks and is a drain at Apple and Apple is dying /s.
Seriously, lay off the funny mushroom thing. It is affecting that portion of your brain that enables you to see facts
When we say they are trivial, they are trivial in the sense they would NOT create much EXTRA revenue for the company. What is bothering Tim Cook and board most now ? It is Apple stock. They have admitted that. Why Apple stock is not up after the things you listed were released ? Nobody cares these things as they can't change the picture.
I have almost everything Apple has released and I don't own a single Android stuff. I am really disappointed by Apple's extremely slow and non innovative releases. We have to face this reality, Tim Cook is not suitable for his job. I bet if he resigned the stock will jump $50.
Why do we care about stock price? If Apple (who obviously doesn't) care about it, then they must be seeing the bigger picture.
It is irrational and stupid to get upset when you see somebody offers different opinion. If you just like to hear things on your wish list and just use this forum as a confidence boosting platform, you already having some psych confusion issue.
It is one thing to offer a different opinion. Hell, I welcome a good debate. However, when you sit there and spout off things like "Tell me what it released before 9/2013" you should expect a response about that. And just because that doesn't mesh with what you are perceiving to be a lack of innovation, doesn't make my or Tallest's remarks any less valid. As a matter of fact, I would challenge you to go look for another tech company that you feel has out-innovated Apple and in what regards.