2023-05-18 20:02:55
In its great business of diversification, Apple does not do sentiment. According to Ming-Chi Kuo, the builder would have indeed decided to give the green light to Luxshare for the initial production (NPI for “new product introduction”) of the iPhone 16 Pro Max, in 2024. This is a significant change compared to previous years where this role was systematically devolved to Foxconn, at least for the high-end model of the iPhone.
Apple’s thinking was likely fueled by the riots that shook the Foxconn factory in Zhengzhou, last November. To compensate for the low production, Apple called on Luxshare to manufacture iPhone 14 Pro Max. With the performance having been better than expected, the contractor would have won the NPI for the 16 Pro Max. Apple reportedly believes that Luxshare’s production capabilities have reached the same level as first-tier suppliers.
In addition to Luxshare for the 16 Pro Max, Foxconn should take care of the iPhone 16 and 16 Pro, while Pegatron receives the iPhone 16 Plus. Apple is also expected to lend a hand to Luxshare to establish production lines in India. The manufacturer is currently negotiating with the country’s government in this direction, which might take the form of a joint venture. Tim Cook traveled to India last month to strengthen ties between Apple and the country. And the latter is part of the solutions (with Vietnam) to take over from China, at least in part, for the manufacture of products.
Subcontractors: departure from China is a constant concern
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