Wistron refutes claims of factory work stop over bogus part use in iPhone production

Posted:
in iPhone edited March 2018
The iPhone parts supplier is disputing a report that claims that Apple has suspended production at Wistron's plant in Kushan, China because of the use of an unauthorized water seal in the assembly process.




According to the report by Digitimes, the Taiwanese, Chinese-language newspaper Commercial Times reported early Thursday that Apple had stopped production at the plant for two weeks, in order to investigate the plant's alleged use of unauthorized components. The company, the report claims, had also suspended several executives, in order to "regain Apple's trust."

Allegedly, Wistron had used water seal material that wasn't authorized by Apple for use in the iPhone 6. However, in a filing with the Taiwan Stock Exchange, Wistron stated that operations at the facility remain "completely normal" and hadn't been suspended at all.

AppleInsider has reached out to Wistron for comment on the matter, and has as of yet not received a response.

Wistron, earlier this week, gained approval to build a new factory in India, possibly for iPhone production, to go along with Apple's retail plans for that country.

Comments

  • Reply 1 of 8
    gatorguygatorguy Posts: 20,452member
    To be even more specific Wistron's official statement said they do no comment on specific vendor issues but that claims of a stoppage were false. Of note perhaps they are not claiming the  reported use of "unauthorized materials" was also false.
  • Reply 2 of 8
    GG1GG1 Posts: 243member
    I believe the city is Kunshan, not Kushan.
  • Reply 3 of 8
    Mike WuertheleMike Wuerthele Posts: 4,442administrator
    gatorguy said:
    To be even more specific Wistron's official statement said they do no comment on specific vendor issues but that claims of a stoppage were false. Of note perhaps they are not claiming the  reported use of "unauthorized materials" was also false.
    Wistron's official statement was made in Chinese, and after speaking with a colleague fluent, we're concerned about the translation method in the original reporting -- which is why we didn't publish the statement in full. We're hoping for a response from Wistron with clarification in english.
    edited March 2018
  • Reply 4 of 8
    gatorguygatorguy Posts: 20,452member
    gatorguy said:
    To be even more specific Wistron's official statement said they do no comment on specific vendor issues but that claims of a stoppage were false. Of note perhaps they are not claiming the  reported use of "unauthorized materials" was also false.
    Wistron's official statement was made in Chinese, and after speaking with a colleague fluent, we're concerned about the translation method in the original reporting -- which is why we didn't publish the statement in full. We're hoping for a response from Wistron with clarification in english.
    Ah, thanks for that mention!
  • Reply 5 of 8
    macguimacgui Posts: 1,184member

    I stopped reading after that. They have such a bad batting average that I just can't bother.

  • Reply 6 of 8
    maestro64maestro64 Posts: 4,527member
    Apple did not need to shut down production to make this determination. All Apple had to do was first call the authorized supplier of the water seal and ask them if Wistron was buying the seal from them. This is so easy to do this is why Chinese manufacturer who make product for companies like Apple who have a approve parts list do not play this game any more, it is way too easy to get caught. Why the supplier of the part will rat out the manufacturer if orders stop coming in. 

    Now, it is still common for CM to try and buy a memory or chip resistors and such on the gray market and supplement their product requirement with a few low cost parts to help there margins. This can be a bit hard to detect and catch 
  • Reply 7 of 8
    maestro64maestro64 Posts: 4,527member
    macgui said:

    I stopped reading after that. They have such a bad batting average that I just can't bother.


    AI need to start putting up something like a "Spoiler Alert' for articles that covers this company and a few other individuals.
  • Reply 8 of 8
    Mike WuertheleMike Wuerthele Posts: 4,442administrator
    macgui said:

    I stopped reading after that. They have such a bad batting average that I just can't bother.

    Digitimes reported on the statement by Wistron -- which was accurate. The questionable report was from the Commercial Times.
    gatorguy
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