Despite record output, Foxconn unable to keep up with massive iPhone 6 demand

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Comments

  • Reply 41 of 66
    mike1mike1 Posts: 3,275member
    Quote:

    Originally Posted by island hermit View Post

     

    Apple always seems to be held back because of manufacturing capacity.

     

    Something that should concern analysts.

     

    If manufacturing is stuck at 60-65 million units per quarter then that's the limit to Apple's sales... for ever and ever... unless Cook can figure out this problem.




    There's a difference between pipeline fill and continuing requirements. Apple/Foxconn could conceivably create enough capacity to handle the initial surge more quickly, but that would leave them with too much capacity for ongoing needs. There's a happy balance which I am sure Apple is working towards with all the suppliers.

  • Reply 42 of 66
    Quote:

    Originally Posted by sog35 View Post

     

    I don't understand why Apple does not start manufactering earlier.

     

    The main reason not to start early is to avoid leaks.  But who cares at this point?  You can stop the leaks so why not start production 3 months ahead of launch? 


     

    That's not how it works.  Typically a company did a couple rounds of test runs to making sure there were no production glitches, then they schedule the announcements.  Apple is really good at this:  it does not want to stuff the channels to have products sitting on the shelves.  So Apple ordered just enough to barely keeping up with the demand.  Then build up inventory 3 to 4 month into the release

  • Reply 43 of 66

    Dudes, Apple does a great job.  There are just some limits even for the top manufacturers and tech companies.

     

    Samsung doesn't have this problem because their best-selling phone sells less than the 5C.

     

    You never ever hear about a backlog of orders or pent-up demand for Samsung products.

     

    You never ever see anyone camped out to buy the latest Galaxy.

     

    Never.

     

    I'm not saying they Samy doesn't sell plenty of products; they do.  

     

    But in baseball terms, Samsung hits some great singles and sometimes a double.

     

    Only iPhones hit it out of the park.

  • Reply 44 of 66
    Quote:

    Originally Posted by mike1 View Post

     



    There's a difference between pipeline fill and continuing requirements. Apple/Foxconn could conceivably create enough capacity to handle the initial surge more quickly, but that would leave them with too much capacity for ongoing needs. There's a happy balance which I am sure Apple is working towards with all the suppliers.


     

    There is also efficiency of numbers... and everyone seems to be at absolute capacity to fill Apple's requirements.

  • Reply 45 of 66

    Seems like they would figure out by now that when a new numbered phone comes out, demand is much higher than when an "S" variant comes out.  The "S" isn't to be dismissed because it fills a need, but have we ever seen any real major changes on an S variant?  Seems like the "S" is upgraded to by people that are off contract or the die hards.  But the new number variants (3g, 4, 5, 6/6+) usually have offered something dramatic like a new look/size/functionality that dramatically increases demand and I'd imagine drives a lot of people to pay to end their contract or buy full priced phones.



    Of course that could all be history with NEXT type plans coming out that allow an upgrade at every release.

  • Reply 46 of 66
    Quote:

    Originally Posted by 512ke View Post

     

    Dudes, Apple does a great job.  There are just some limits even for the top manufacturers and tech companies.

     

    Samsung doesn't have this problem because their best-selling phone sells less than the 5C.

     

    You never ever hear about a backlog of orders or pent-up demand for Samsung products.

     

    You never ever see anyone camped out to buy the latest Galaxy.

     

    Never.

     

    I'm not saying they Samy doesn't sell plenty of products; they do.  

     

    But in baseball terms, Samsung hits some great singles and sometimes a double.

     

    Only iPhones hit it out of the park.


     

    There it is exactly. If Apple had 6 different phones (by different I'm talking screen sizes, chip etc.) selling 10 million units each then that is quite different than having 2 phones selling 30 million units each.

  • Reply 47 of 66
    As I mentioned... you just can't snap your fingers to get more production.
    Yet you just snap your fingers and conjure up imaginary demand that exceeds Apple's production capacity. I'm sure Apple has a good handle on their supply and defend and will figure it out just fine, if they haven't already.
  • Reply 48 of 66
    Quote:
    Originally Posted by chabig View Post





    Yet you just snap your fingers and conjure up imaginary demand that exceeds Apple's production capacity. I'm sure Apple has a good handle on their supply and defend and will figure it out just fine, if they haven't already.

     

    Imaginary demand?

     

    What the f*ck do you think analysts do?

     

    The 5S/5C error in the beginning should be enough to show anyone that, yes, Apple can make mistakes.

  • Reply 49 of 66
    nhtnht Posts: 4,522member
    Quote:

    Originally Posted by island hermit View Post

     

    Apple always seems to be held back because of manufacturing capacity.

     

    Something that should concern analysts.

     

    If manufacturing is stuck at 60-65 million units per quarter then that's the limit to Apple's sales... for ever and ever... unless Cook can figure out this problem.


     

    This would be a problem if true.  Since they have increased sales every year and bigger launches every model it's not true so it's not a concern.

  • Reply 50 of 66
    Quote:

    Originally Posted by nht View Post

     

     

    This would be a problem if true.  Since they have increased sales every year and bigger launches every model it's not true so it's not a concern.


     

    ... and every year they have supply constraints at launch.... and every year those supply constraints get larger.

     

    So... it is true... and it should be a concern.

  • Reply 51 of 66
    nhtnht Posts: 4,522member
    Quote:

    Originally Posted by airnerd View Post

     

    Seems like they would figure out by now that when a new numbered phone comes out, demand is much higher than when an "S" variant comes out.  The "S" isn't to be dismissed because it fills a need, but have we ever seen any real major changes on an S variant?  


     

    5S touch ID, dual LED flash, f2.2 camera, 64 bit A7 + M7 processor and 1 GB RAM

    4S 1080p video, dual core A5 vs single core A4 in the 4

     

    The 4S and 5S were both significantly better than the 4 and the 5 and other than looks both have more significant internal changes.  The 6 CPU/GPU is only somewhat better than the 5S.  The longevity of the 4S is higher than that of the 4 because of being dual core.  The longevity of the 5S higher than that of the 5 because of 64 bit and 1 GB RAM.

  • Reply 52 of 66
    nhtnht Posts: 4,522member
    Quote:

    Originally Posted by island hermit View Post

     

     

    ... and every year they have supply constraints at launch.... and every year those supply constraints get larger.

     

    So... it is true... and it should be a concern.


     

    This:

     

    "If manufacturing is stuck at 60-65 million units per quarter then that's the limit to Apple's sales... for ever and ever... unless Cook can figure out this problem."

     

    Is clearly a false statement.  The fact that you agree that the supply constraints get larger also makes that a false statement because obviously they are increasing manufacturing capability every year and they are not "stuck"

     

    And having supply constraints at launch is non-issue because it means that you have correctly judged production and demand over the life of the product.  Still having supply constraints at the end of NEXT qtr is an indication that there MAY a problem with production planning and you left money on the table.

  • Reply 53 of 66
    nhtnht Posts: 4,522member
    Quote:

    Originally Posted by AppleInsider View Post



    One insider said 5.5-inch display yields are somewhere between 50 to 60 percent, meaning nearly half of all produced panels are scrapped as they do not meet Apple's strict standards. 

     

    They aren't scrapped...they are made into android phones.  ;)

  • Reply 54 of 66
    fallenjtfallenjt Posts: 4,053member
    Quote:
    Originally Posted by Constable Odo View Post

     

    Let's blame Tim Cook for not being Apple to compensate for expected, unexpected iPhone demand.  If Steve Jobs were alive, this would never have happened.  Apple is in big trouble if they can't sell 15 million iPhones in one weekend.  Why should anyone use Apple Pay if Tim Cook can't even get a handle on iPhone production.  Only 540,000 iPhones a day from Foxconn?!!! I thought the iPhone was going to be a SUCCESSFUL product but it looks as though it's falling short of Wall Street's expectations.  Hershey pumps out at least 5X as many Kisses on a daily basis.  I thinks it's high time shareholders dump Apple stock because Apple continues to fall behind Android in market share and with Android One and $75 smartphones to India it can only get much worse.  Woe is Apple.  The ratio of iPhone 6 to iPhone 6 Plus is all messed up by leaving too much money on the table.  Apple is losing money because more people are buying the iPhone 6 when they should be buying the more expensive iPhone 6 Plus.  If Apple doesn't sell 90 million iPhones by the end of the year, that's the end of Apple.  90 million iPhones means they're not even trying.  It will mean that anyone who ever wanted an iPhone already has one and that's the end of Apple's future for all time.  Dump Apple U.S. and invest in Xiaomi, the Apple of China.  Now that's a company that's going places.

     

    /s


    Are you fking serious ? Xiaomi will give every piece of your data to Chinese government if you like that. Chinese phone would be the last one in the world that we want. 

  • Reply 55 of 66
    Originally Posted by fallenjt View Post

    Are you fking serious or just troll?



    /s denotes sarcasm. 

  • Reply 56 of 66
    fallenjtfallenjt Posts: 4,053member
    Quote:

    Originally Posted by Tallest Skil View Post

     



    /s denotes sarcasm. 


    Didn't see that from the phone screen thru Pulse.

  • Reply 57 of 66
    nht wrote: »
    airnerd wrote: »
     
    Seems like they would figure out by now that when a new numbered phone comes out, demand is much higher than when an "S" variant comes out.  The "S" isn't to be dismissed because it fills a need, but have we ever seen any real major changes on an S variant?  

    5S touch ID, dual LED flash, f2.2 camera, 64 bit A7 + M7 processor and 1 GB RAM
    4S 1080p video, dual core A5 vs single core A4 in the 4

    The 4S and 5S were both significantly better than the 4 and the 5 and other than looks both have more significant internal changes.  The 6 CPU/GPU is only somewhat better than the 5S.  The longevity of the 4S is higher than that of the 4 because of being dual core.  The longevity of the 5S higher than that of the 5 because of 64 bit and 1 GB RAM.

    Yeah, that struck me as a weird thing to say, too. To me the real milestones were the original iPhone of course, then the 3GS with real GPS and the compass, the 4S with Siri, and the 5S with TouchID and 64-bit. YMMV, i suppose, but I see very little support for the theory that the "S" releases are less interesting.
  • Reply 58 of 66
    slurpyslurpy Posts: 5,382member
    Quote:
    Originally Posted by airnerd View Post

     

    Seems like they would figure out by now that when a new numbered phone comes out, demand is much higher than when an "S" variant comes out.  The "S" isn't to be dismissed because it fills a need, but have we ever seen any real major changes on an S variant?  Seems like the "S" is upgraded to by people that are off contract or the die hards.  But the new number variants (3g, 4, 5, 6/6+) usually have offered something dramatic like a new look/size/functionality that dramatically increases demand and I'd imagine drives a lot of people to pay to end their contract or buy full priced phones.



    Of course that could all be history with NEXT type plans coming out that allow an upgrade at every release.


     

    You're absolutely right. S versions bring no real changes, and are only for "die-hards". For example, the iPhone 5S didn't add Touch ID, the most significant iPhone hardware feature in years (if not ever). It didn't add a significantly more powerful, first of it's kind 64bit chip. It didn't add a whole new motion co-processor. It didn't significantly improve the camera, adding stuff like slow motion video that only the A7 could handle.  It didn't add a duo-tone flash, the first of its kind on a mobile phone (or any camera?). I'd call the combination of those hardware features pretty damn dramatic, and there was more demand for the 5S, and more sales (5 million in a weekend) than any iPhone before it. So yeah, you're pretty much spectacularly wrong. Every single part of the phone, except general external design, changed. 

     

    Yes, the 6/6+ will well more, obviously, continuing the trend of every iPhone generation selling significantly more than the one before.  But your premise that Apple did not expect this kind of demand couldn't be more idiotic. Manufacturing capacity has its limits, especially for such a complex device with such high tolerances, and Apple is pushing these limits to the max, more so than any other company on earth. But you should send Tim Cook an email, maybe he forgot to press the "increase manufacturing" button, or maybe you can explain to the best supply chain guy on the planet how to do so, clearly you have impressive credentials in this area, right?

  • Reply 59 of 66
    cintos wrote: »
    "Reports from as late as July claimed Apple's larger 5.5-inch iPhone would not be ready in time to launch with the 4.7-inch iPhone 6, though Apple has put those rumors to bed and will debut both smartphones this Friday. "

    Yes, once again, Apple has "put to bed" the lies propagated by Apple Shorts. When will they lern?

    When they lern to spel.

    Just kidin.
  • Reply 60 of 66
    sog35 wrote: »
    I don't understand why Apple does not start manufactering earlier.

    The main reason not to start early is to avoid leaks.  But who cares at this point?  You can stop the leaks so why not start production 3 months ahead of launch? 

    I think you meant to add 't to your post.
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