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Apple's Supply Chain to Work Through Chinese New Year Holiday Amid 'Insatiable Appetite' for iPad Mini in China

Friday December 28, 2012 8:32 am PST by Eric Slivka
Brightwire summarizes a report [Google translation] from Taiwanese news site United Daily News claiming that Apple's supply chain partners will continue working through the traditional Chinese New Year holiday in order to keep up with demand for the popular iPad mini and iPhone 5. The holiday falls in mid-February in 2013, with many workers traditionally returning to their homes for two weeks or more in celebration.

The report comes as Apple continues to experience tight supplies of the iPad mini in particular, with the company's online stores around the world generally citing 1-2 week shipping estimates for new orders.

Demand for the iPad mini is also very strong in China, where the device launched on December 7, as highlighted in a new report from Topeka Capital Markets analyst Brian White. White cites "insatiable appetite" for the iPad mini in China and Hong Kong leading to stock shortages, with checks indicating that the iPad mini is more popular than the fourth-generation iPad.
Our research is pointing to very strong demand for the iPad mini in China and this is leading to stock-outs this week. Similar to Hong Kong, we are being told by contacts in China that the iPad mini is already more popular than the fourth generation iPad. Prior to the China launch, we indicated that the iPad mini would be the "next big thing in China" and we believe this phenomenon is starting to develop. In our view, the smaller form factor and lower price point will allow Apple to sell the iPad mini in more meaningful volumes versus the regular-size iPad.
The report suggests that Apple is beginning to achieve some balance on the iPhone 5 in China, with walk-in purchases now starting to become more widely available two weeks after the device's debut. Evidence of the Apple catching up with iPhone 5 demand in the first waves of launch countries appeared earlier this month with the company's online stores shifting to immediate "in stock" availability of all models.

Related Roundup: iPad mini 5
Buyer's Guide: iPad Mini (Neutral)
[ 89 comments ]

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PeterQVenkman
89 months ago
My sis got a mini. Makes my nexus feel like the cheap toy that it is.
Rating: 16 Votes
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neech7
89 months ago

#slavedrivers


It's voluntary.
Rating: 12 Votes
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ctdonath
89 months ago

What is happening to this world?


Among other good things, millions of Chinese workers have much better jobs (pay, benefits, hours, and conditions) than they've ever had opportunity to before. Wasn't that long ago millions per year died of starvation in forced marches and famine.

Ain't perfect, but sure heading in the right direction. Can't make the jump from groveling to luxurious overnight.
Rating: 10 Votes
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Rogifan
89 months ago

Completely understandable. I am using both and it's the best combo I've ever experienced.

Chinese people just start testing Apple drugs. They will be addict.

I couldn't justify buying the mini when I have a 3rd gen, but got one for my mother for Christmas and she can't put it down. And this is someone who is 71, never owned a smartphone and knows very little about multi touch devices. But she absolutely loves her mini. :)
Rating: 7 Votes
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iZac
89 months ago
Although its not a big deal that many people have to work through their national holidays (like me sometimes!) it is pretty rubbish when you consider that 99% of these people are migrant workers who only get to see their families and possibly children ... Once a year.
Rating: 6 Votes
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Lazlow
89 months ago
Why is everyone missing the point here?

Give those workers a ****ing break. People can wait a week for their iPad minis.
Rating: 6 Votes
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3282868
89 months ago
Working through the Chinese New Year is a big deal, it's one of the most important holidays in their culture. Imagine if this occurred in the U.S., and thousands of minimum wage workers were forced to work through Christmas and the New Year? Oh, wait, that's already been happening, if they're lucky to find employment.

What is happening to this world? The next time I need another device, I'll think twice about how and where it is made; this is for Apple and any electronics company that works with Foxconn. It starts with all of us, our dollars do make a difference.
Rating: 6 Votes
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TC03
89 months ago
Wonder what will happen to the mini/classic sales ratio when the iPad mini becomes retina... My guess is that the larger iPad will become the niche. Though, Apple might underpower the mini deliberately to maintain an edge for the 9.7".

Interesting times, especially if you bear in mind that Windows 8 sales are not really lifting off due to decreased PC sales (20% down year over year in the US). The post-PC era is real and Apple saw it coming way beyond the horizon. Now that's vision. *applause*
Rating: 5 Votes
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Eddie Bombay
89 months ago
#slavedrivers
Rating: 5 Votes
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iGrip
89 months ago
Auld Lang Syne



Demand for the iPad mini is also very strong in China, where the device launched on December 7, as highlighted in a new report from Topeka Capital Markets analyst Brian White. White cites "insatiable appetite" for the iPad mini in China and Hong Kong leading to stock shortages, with checks indicating that the iPad mini is more popular than the fourth-generation iPad.



Factory work in third world countries kind of sucks, eh? And somehow, I doubt that many of those factory workers are contributing to the current "insatiable appetite" in China for iPad Minis.
Rating: 5 Votes

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