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Low Touchscreen Yields Reportedly Contributing to iPad Mini Pricing

Digitimes reports that one of the primary reasons that Apple was unable or unwilling to launch the iPad mini at a price below $329 is ongoing difficulties with touchscreen production as Apple transitions to new "GF2 Dito" technology.
The sources said the DITO film sensor is having mass production issues, which has been a big contributor to why the device is approximately 40-50% more expensive compared to other 7-inch tablets that have OGS or G/G structures.

The sources said that GF2 touch screen modules are only about roughly US$5 cheaper than G/G ones for the 9.7-inch iPad models.

Apple's transition to the new touch structure was mentioned by KGI Securities analyst Ming-Chi Kuo back in late August, with Kuo noting that hurdles experienced in that transition were one of the primary reasons that prevented Apple from launching iPad mini earlier than it did.

Today's report also notes that supply chain sources are continuing to see orders for the iPad 2 extending as far as the first quarter of next year, suggesting that Apple will indeed keep that model available for some time. One analyst had speculated last week that Apple might drop the iPad 2 in favor of the iPad mini in order to maintain a streamline product lineup, but at its media event this week the company was clear that the iPad 2 at $399 Wi-Fi/$529 cellular remains an integral part of its iPad portfolio even as the third-generation iPad has been discontinued.

Related roundups: iPad Air, iPad mini

Top Rated Comments

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25 months ago
The iPad Mini is looking more and more appealing. Damn you, Apple. Somehow, someway, I always say I'm not going to get it, then I get one. :mad:
Rating: 22 Votes
25 months ago
The "we like money" could also maybe possibly be a factor. And why shouldn't it?
Rating: 19 Votes
25 months ago
Apple needs to eat that cost. Why dropp new technology when you haven't perfected the manufacturing process yet?
Rating: 10 Votes
25 months ago
Ming-Chi Kuo nails it.
Rating: 8 Votes
25 months ago
I call BS on this argument. Phil Schiller eluded to "quality". That's an easy way to justify the money grab.
Rating: 8 Votes
25 months ago

Low yields probably have more to do with switching to inferior supplier from Samsung than with new technology. Apple will lose a lot more than the $1 billion (that they will probably never get anyways) because of the way they treated Samsung.

And Samsung will lose a lot of money from the way they treated Apple. These aren't personal friendships, they're business decisions. Whether the moves both companies make are optimal, in the overall big picture, remains to be seen. And nobody can ever say for sure anyway, there are too many what-ifs going on. But both companies seem to be doing pretty well.
Rating: 5 Votes
25 months ago

I'd much rather bring the person I love out 11 times than own another useless piece of consumer electronics.

Well, almost anything is better than owning a useless piece of consumer electronics. The argument is about whether this piece of consumer electronics is useless. :)
Rating: 5 Votes
25 months ago

Specs rise, prices fall, yields improve... time solves a lot. (Digitimes? Take with salt.)

Meanwhile, skip a meal out for two and you'll recover the $30 and be able to own an iPad Mini!



Wondering the same. Thinner? More accurate color?


I'd much rather bring the person I love out 11 times than own another useless piece of consumer electronics.
Rating: 4 Votes
25 months ago

Low yields probably have more to do with switching to inferior supplier from Samsung than with new technology. Apple will lose a lot more than the $1 billion (that they will probably never get anyways) because of the way they treated Samsung.


LG's LCD is the world best. LG is also the #1 LCD supplier. They have most of IPS technologies. Samesung makes AMOLED but it has very serious defects; burn-in, low brightness, pentile, and color calibration issues.
Rating: 4 Votes
25 months ago

Apple needs to eat that cost. Why dropp new technology when you haven't perfected the manufacturing process yet?


Haaaaaaahahahahahahhaahhahaahhahahhahahahahhahahaahahaha
Rating: 4 Votes

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