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Foxconn Facing Display Shortages as it Struggles to Meet iPhone 6 and 6 Plus Demand

Apple's iPhone 6 and 6 Plus supplies may continue to be constrained as Foxconn reportedly is struggling to keep up with demand for the handsets, reports the Wall Street Journal. Unlike previous years that saw Foxconn handling the launch of one flagship handset, the manufacturer is now tasked with producing two iPhone models that are in high demand.
The Taiwan-based manufacturer, which has more than one million workers in China, is operating about 100 production lines around the clock in Zhengzhou. The challenge is to manufacture two complicated new iPhones on a large scale at the same time because Foxconn is the sole assembler of the 5.5-inch iPhone 6 Plus. It also makes the majority of the iPhone 6 that comes with a 4.7-inch display, the people said.
Foxconn reportedly has hired more than 200,000 workers at its Zhengzhou site to work on Apple's new iPhone. Even with this large labor force and daily output volumes of 140,000 iPhone 6 Plus units and 400,000 iPhone 6 units, the company is still not able to meet pre-order demand.

iphone6plus
One issue reportedly facing the manufacturer is a shortage of 5.5-inch displays, which are still only at being produced at a 50-60 percent output rate, leading suppliers to reject almost half of the display units that come off the production line.

Apple has faced similar shortages with previous iPhone models and has been able to gradually ramp up supply to meet demand. Apple will begin selling its new iPhone 6 and iPhone 6 Plus starting Friday, September 19th in a handful of launch countries. A larger global rollout is planned the following week with sales beginning on September 26th.

Related Roundup: iPhone 6s
Tag: wsj.com
Buyer's Guide: iPhone (Caution)


Top Rated Comments

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22 months ago
Sounds like a routine apple launch. Demands just gets bigger.

Shocking news would be, "Apple fulfils demand for new iphone at launch"
Rating: 23 Votes
22 months ago
Always silly random claims. Great click-bait.
Rating: 13 Votes
22 months ago
And water is wet.
Rating: 13 Votes
22 months ago
Lets do some math:

140k iPhone 6+ per day
400k iPhone 6 per day.

Reports of July ramp up, lets put 6 working days in there:

140*26 = 3.64M units before launch
400*26 = 10.4M units before launch

And its still NOT ENOUGH?! Dang it Apple, get your act together!
Rating: 11 Votes
22 months ago
Apple should just send out build it yourself kit.
Rating: 9 Votes
22 months ago
Always great to end your source quotes with ..the people said.
Rating: 7 Votes
22 months ago
lets just hope they dont rush these things out and we are all left with the first few charges of display issues and bleeding
Rating: 7 Votes
22 months ago
Would love to see an actual video of the assembly line!
Rating: 4 Votes
22 months ago

HHahaha right.

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You are such the expert. Please tell us more areas of improvement for Apple.



Does it take an expert to figure out that simple math problem??
Rating: 4 Votes
22 months ago

Am I the only one who knows that most of this is by design on Apples end?


There is a difference between knowing and assuming.. What you are doing is assuming.

Human beings tend to always want what they can't have...so by making supply shorter, it creates a mini panic and people who were on the fence suddenly HAVE to have it. It's simple psychology. The day apple meets demand on launch day is the day people start saying "Eh, maybe next year". Fantastic marketing.

Take a look at Playstation and Xbox launches..they do the same thing. All intentional to drive demand higher.


Again these are only assumptions. What you don't factor into your reasoning is the scale of manufacturing that needs to be built up. All Foxconn factories are on hyperdrive to produce iPhones (this is fact, not assumed) the moment it is ready for production. There is no artificial scarcity when a company is introducing the world's most popular smartphone in many countries simultaneously.

What you are also forgetting to include in your argumentation is that Apple is one of the few manufacturers that has a pure one-year refresh strategy for phones. If Apple would wait with the launch until it can satisfy global demand, than the update cycle would be closer to 1.5-2 years and Apple would have problems keeping the devices attractive in terms of specs and functionality. Samsung, LG and HTC would be running circles around Apple in terms of specs and updates.

This is not nearly as simple as you make it out to be.
Rating: 3 Votes

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