more talk of iWatch production
The iWatch is built using powder metallurgy technology and then processed by CNC equipment. Since Apple requires the iWatch be thin and light and still features an elegant design, it has been known that this will pose a great challenge to the device's chassis suppliers as well as related component makers and back-end process service providers.
Market chatter: Apple iWatch reportedly suffering from low yields
Aaron Lee and Daniel Shen, Taipei; Joseph Tsai, DIGITIMES [Monday 9 September 2013]
There is talk in the Taiwan supply chain that Apple's upcoming iWatch is reportedly suffering from low-yield-rate problems, with the rumors being that the upstream supply chain is only able to supply 30-40% of the original order volumes. However, Digitimes has not been able to substantiate any of these rumors.
The iWatch is built using powder metallurgy technology and then processed by CNC equipment. Since Apple requires the iWatch be thin and light and still features an elegant design, it has been known that this will pose a great challenge to the device's chassis suppliers as well as related component makers and back-end process service providers.
Apple is expected to release the iWatch in the second half of 2014 with prices between US$149-229. Inventec and Quanta Computer were reportedly the manufacturers of the iWatch with their respective order ratio being 6:4.
Both Inventec and Quanta declined to comment on the reports.
In addition to the iWatch, Sony's SmartWatch 2 and Samsung Electronics' recently announced Galaxy Gear are starting to bring the smart watch industry to the fore, with many Taiwan-based makers trying to land related orders.
FIH Mobile, Compal Communications and Arima have all established specific teams to land smart watch orders from both existing and new players.
Currently, most first-tier vendors are still just testing the water, but are expected to soon release more products for the smart watch market. Taiwan makers have advantages in the production of entry-level products and should be able to drop their quotes for smart bracelets to below US$20 and below US$40 for smart watches, the sources noted.
