Foxconn Struggling to Match iPhone 5 Demand

By: Ali Raza  |   November 9th, 2012   |   Apple, Business, News, Smartphones

Controversial and powerful Taiwan based original design manufacturer, Foxconn is struggling to make the required number of iPhone 5 units for Apple due to the device’s ever increasing demand. The high demand for this smartphone can be judged from the fact that Apple had sold 5 million units of the iPhone 5 within the first week of its launch.

 

Addressing the reporters on Wednesday, Foxconn’s chairman, Terry Gou shared that they are still facing problems to produce the new iPhone in large quantity as, “It’s not easy to make the iPhones. We are falling short of meeting the huge demand.”

 

This is not the first time that Foxconn had mentioned this issue, as representatives of the firm have been articulating similar sentiments for several weeks now.

 

The major problem for this Taiwanese company is that, “The iPhone 5 is the most difficult device that Foxconn has ever assembled.  To make it light and thin, the design is very complicated,” as told by an unnamed official of this manufacturing firm.

 

On top of that, Apple is notoriously strict about following quality control standards, which leaves no margin of error for Foxconn because the late Steve Jobs’ firm wants every iPhone 5 as neat, well built and uniform as possible. This had made things even more complicated for Foxconn, who possess a strong history of making products for companies like Sony, Nokia and Intel.

 

Apart from this, labour strikes are also causing hurdles for Foxconn, as it has been forced to slow down the production of Apple’s new device. If the lack of supply prolongs, it is expected that the news and residual effect will impair Apple’s share price, which is never a good thing.

 

Therefore, to avoid such a situation it is imperative that Foxconn turn on all their cylinders and boost their production in order to meet the exceeding demand.

 

Source: Venture Beat