What They Say
Nikkei reported that Chinese supplier, Luxshare (What Bob Saw on the Net 25 08 2020), which is buying a factory from Wistron, has been allowed to see the production of the iPhone 12 mini. Wistron is reported to be making 20% of the production of that model. The Nikkei said that Luxshare is the key assembler of Apple’s AirPods wireless earphones.
Luxshare was expected to start by making older models and this access is unusual as the deal with Wistron has not yet closed.
The Nikkei said that Luxshare is attempting to become just the fourth iPhone assembler alongside Foxconn, Pegatron and Wistron — and the first based in China.
What We Think
In some ways, this move might be seen as going against the flow to develop more supply chains outside China. However, Apple will also need supply chains inside that country which is an important market. (BR)
