Foxconn Chairman Admits to 'Falling Short' of iPhone 5 Demand

Reuters reports that Foxconn chairman Terry Gou has acknowledged that his company is struggling to keep up with demand for the iPhone 5, echoing an earlier report addressing the difficulty of assembling the phone to meet strict quality control standards.

"It's not easy to make the iPhones. We are falling short of meeting the huge demand," Foxconn Chairman Terry Gou told reporters after a business forum.

However, he declined to comment on brokerage reports saying that the group's other unit, Foxconn International Holdings (FIH), had taken on some production.

foxconn workers
The Wall Street Journal has another report on Gou's comments, quoting him as saying that Foxconn is shipping "far fewer" iPhones than Apple has requested.

"Market demand is very strong, but we just can't really fulfill Apple's requests," Taipei-based Hon Hai Precision Industry Co. Chairman Terry Gou told reporters on the sidelines of a local economic forum.

Mr. Gou declined to say which of the phone's design features has caused production issues and how long it will take for those issues to be solved.

Availability of the iPhone 5 remains tight some six weeks after the first round of launches, with Apple's online stores generally quoting 3-4 week shipping estimates and lines forming at some Apple retail stores on a daily basis as customers seek out available stock.

Top Rated Comments

FieldingMellish Avatar
126 months ago
The way Jony Ives designs phones so thinner and lighter, Apple will soon have to offer a "build it yourself" option. You pay $80.00 less and receive a box of parts and a link to online instructions.
Score: 21 Votes (Like | Disagree)
Kissaragi Avatar
126 months ago
Will this finally shut up the stupid conspiracy theorists that claim apple hold back supply deliberately?..... Probably not :(

*edit*... it didn't...
Score: 13 Votes (Like | Disagree)
utwarreng Avatar
126 months ago
The way Jony Ives designs phones so thinner and lighter, Apple will soon have to offer a "build it yourself" option. You pay $80.00 less and receive a box of parts and a link to online instructions.

It'll be called the iKEAPhone.
Score: 12 Votes (Like | Disagree)
Junkyman Avatar
126 months ago
The entire situation is ridiculous. It's almost impossible to get an iPhone currently. And we are talking about 1,5 months after the launch.
Score: 8 Votes (Like | Disagree)
William Gates Avatar
126 months ago
I walked into ATT Friday morning and bought a Black 64 GB no problem, except for all the problems the ATT sales staff caused me.
Score: 7 Votes (Like | Disagree)
Thunderhawks Avatar
126 months ago
Why would it? It's not a conspiracy as much as a fact. Of course they hold back supply to create artificial demand. EVERY iPhone has had "supply issues," or so they call it. You'd think that if they really wanted to have enough, they'd make it so that there are enough made in advance.

Thank you for proving with your comment that you know absolutely nothing about production, sales , forecasting, supply chains etc.!

Take a business class and post again after that please.
Score: 6 Votes (Like | Disagree)

Popular Stories

airpods pro 2 1

AirPods Pro 2 No Longer Expected to Feature Built-In Heart Rate or Body Temperature Sensor

Sunday July 3, 2022 8:07 pm PDT by
While past rumors have indicated the upcoming second-generation AirPods Pro will feature a built-in heart rate and body temperature sensor, Bloomberg's Mark Gurman has cast doubt on those rumors turning out to be true, saying instead such a feature is unlikely to come anytime soon. "Over the past few months, there have been rumors about this year's model gaining the ability to determine a...
top stories 2jul2022

Top Stories: M2 MacBook Air Release Date, New HomePod Rumor, and More

Saturday July 2, 2022 6:00 am PDT by
The M2 MacBook Pro has started making its way into customers' hands and we're learning more about how it performs in a variety of situations, but all eyes are really on the upcoming M2 MacBook Air which has seen a complete redesign and should be arriving in a couple of weeks. Other top stories this week included a host of product rumors including additional M2 and even M3 Macs, an updated...
Apple Watch 8 Unreleased Feature Thumb

Apple Watch Series 8 Model Rumored to Feature 5% Larger Display

Monday July 4, 2022 5:50 am PDT by
Apple is working on an Apple Watch Series 8 model with a larger display, according to DSCC's Ross Young and Haitong International Securities's Jeff Pu. In October last year, Young suggested that the Apple Watch Series 8 could come in three display sizes. Now, responding to a query about the rumor on Twitter, Young claims that the additional display size joining the Apple Watch lineup will be ...
intel go pc justin long

Windows Laptop Makers 'Worried' About New MacBook Air Impacting Sales

Tuesday July 5, 2022 6:57 am PDT by
The upcoming launch of Apple's redesigned MacBook Air with the M2 chip has some Windows laptop manufacturers "worried" that sales of Intel-based laptops will be negatively affected, according to industry sources cited by DigiTimes. "A Wintel brand vendor pointed out that at a price point of US$1,000-$1,500, the MacBook Air will crowd out other high-end notebooks," the report claims, with...
Apple Watch Series 8 What We Know Feature

Apple Watch Series 8 Might Be Able to Tell If You Have a Fever

Sunday July 3, 2022 6:36 am PDT by
The upcoming Apple Watch Series 8 will be able to tell a wearer if it believes they have a fever due to a higher than normal body temperature thanks to a new built-in sensor, according to Bloomberg's reliable Mark Gurman. Writing in the latest edition of his Power On newsletter, Gurman says that the Apple Watch Series 8 will feature a new body temperature sensor, given that the sensor passes ...
macbook air m2

Exclusive: Apple Plans to Launch MacBook Air With M2 Chip on July 15

Wednesday June 29, 2022 5:23 pm PDT by
The redesigned MacBook Air with the all-new M2 Apple silicon chip will be available for customers starting Friday, July 15, MacRumors has learned from a retail source. The new MacBook Air was announced and previewed during WWDC earlier this month, with Apple stating availability will begin in July. The MacBook Air features a redesigned body that is thinner and lighter than the previous...
European Commisssion

EU Approves Landmark Legislation to Regulate Apple and Other Big Tech Firms

Tuesday July 5, 2022 5:53 am PDT by
European Union lawmakers have approved landmark legislation to heavily regulate Apple, Google, Meta, and other big tech firms. The Digital Markets Act (DMA) and Digital Services Act (DSA) were proposed by the European Commission in December 2020. Now, collected in a "Digital Services Package," the legislation has been formally adopted by the European Parliament and seeks to address...