Long-time Apple supply partner Pegatron could be lined up to handle more than 50 percent of the production load for 2015's next-generation iPhone, according to a foreign brokerage report (via Focus Taiwan).

Apple stepped up efforts to diversify its supply chain to reduce risk when Tim Cook took over as CEO in 2011, bringing on more supply partners to keep up with the increasing demand for each iteration of the iPhone. According to the new report, Pegatron could be receiving the bulk of the so-called iPhone 6s 2015 supply orders from Apple after gradually ramping its role with the iPhone 5c and iPhone 6.

pegatron-office

"For the next product cycle, iPhone 6S, likely out in September 2015, we believe for the first time in the iPhone history, Pegatron will become the main source for assembly, with more than 50 percent of the 4.7-inch allocation," the European brokerage said in a note to clients on Monday.

The note also stated that most of Apple's partners actually tend to lose money in the first few years of their iPhone business, due to the complexity involved in manufacturing the iPhone.

Pegatron handled the majority of assembly for the iPhone 5c in 2013, and recently assisted Apple in boosting production on both the iPhone 6 and perhaps even the iPhone 6 Plus in response to strong demand following the two devices' launch.

According to the new report, Pegatron received 30 percent of Apple's iPhone 6 orders this year, with Foxconn handling the remaining 70 percent. The brokerage also states that Foxconn has received all of the iPhone 6 Plus orders this year, though previous reports claim Apple asked Pegatron to begin supplementing production on the 5.5-inch iPhone as Foxconn has struggled to meet demand.

Looking ahead to 2015, the report also claims that in addition to the next 4.7-inch iPhone model "there is also a small possibility that Pegatron will win the 5.5-inch model as well, but this remains to be seen."

Related Forum: iPhone

Top Rated Comments

macduke Avatar
104 months ago
I cannot wait for the iPhone 6s and I'm just glad to see any rumor of it!

I just can't be silent about this any more. You guys know that I love Apple stuff—everything from the hardware to the software design and I even think many of the executives are awesome and I love their stance on consumer privacy—but I've about had it with my iPhone 6 Plus!

I don't care if the iPhone 6s is the exact same as the 6 but just has 2GB of RAM, the difference between my iPhone 6 Plus and my iPad Air 2 is like night and day when it comes to crashes and reloads. I'm downsizing to the 4.7" model too. This Plus is just a little bit too big—mainly slightly too wide to comfortably reach across the screen, and a bit too long to be comfortable for extended periods in my fairly loose fitting pants. But that's my fault. What really drives me crazy is that the crashing has become so annoying that I wish I could go back and keep my old iPhone 5. The 64-bit chip that limits the 1GB of RAM compared to my old iPhone 5 is really apparent, especially with the higher resolution screen that has to show more content and scale it down from @3X. The only thing I like about this over the 5 is the display (mainly the color and closeness of the pixels to the surface), camera and battery life. The speed really isn't much of a difference, and the battery life is only better because I got the Plus. For me speed matters more on the iPad because that's where I do some of my creative work and gaming. I really don't care how fast my phone is at this point because it does everything I need. I just want it to stop crashing. I've gotten to the point where I can't even switch between two tabs without them reloading, and sometimes just loading one tab makes an error banner appear at the top of the screen, sometimes going in a loop until the site finally loads properly. Crashing back to the home screen happens many times during the day, sometimes causing a soft reboot. Certain apps glitch out, especially when rotating the screen, like videos. The thing has just been one glitch after another. I'm tired of it! For the first time ever I'm really starting to not like my iPhone. As an Apple shareholder this scares the crap out of me, because if someone who is a hardcore fanboy like me feels this way, then damn. On the other hand, my iPad Air 2 is one of the most fantastic Apple devices I've ever owned. If only I could shrink it down to 5" and put the necessary cellular hardware into it with an iPhone 6 camera it would be the perfect iPhone.

Sorry for the rant.
Score: 6 Votes (Like | Disagree)
Glassed Silver Avatar
104 months ago
I cannot wait for the iPhone 6s and I'm just glad to see any rumor of it!

I just can't be silent about this any more. You guys know that I love Apple stuff—everything from the hardware to the software design and I even think many of the executives are awesome and I love their stance on consumer privacy—but I've about had it with my iPhone 6 Plus!

I don't care if the iPhone 6s is the exact same as the 6 but just has 2GB of RAM, the difference between my iPhone 6 Plus and my iPad Air 2 is like night and day when it comes to crashes and reloads. I'm downsizing to the 4.7" model too. This Plus is just a little bit too big—mainly slightly too wide to comfortably reach across the screen, and a bit too long to be comfortable for extended periods in my fairly loose fitting pants. But that's my fault. What really drives me crazy is that the crashing has become so annoying that I wish I could go back and keep my old iPhone 5. The 64-bit chip that limits the 1GB of RAM compared to my old iPhone 5 is really apparent, especially with the higher resolution screen that has to show more content and scale it down from @3X. The only thing I like about this over the 5 is the display (mainly the color and closeness of the pixels to the surface), camera and battery life. The speed really isn't much of a difference, and the battery life is only better because I got the Plus. For me speed matters more on the iPad because that's where I do some of my creative work and gaming. I really don't care how fast my phone is at this point because it does everything I need. I just want it to stop crashing. I've gotten to the point where I can't even switch between two tabs without them reloading, and sometimes just loading one tab makes an error banner appear at the top of the screen, sometimes going in a loop until the site finally loads properly. Crashing back to the home screen happens many times during the day, sometimes causing a soft reboot. Certain apps glitch out, especially when rotating the screen, like videos. The thing has just been one glitch after another. I'm tired of it! For the first time ever I'm really starting to not like my iPhone. As an Apple shareholder this scares the crap out of me, because if someone who is a hardcore fanboy like me feels this way, then damn. On the other hand, my iPad Air 2 is one of the most fantastic Apple devices I've ever owned. If only I could shrink it down to 5" and put the necessary cellular hardware into it with an iPhone 6 camera it would be the perfect iPhone.

Sorry for the rant.

Don't be sorry.
You're spot on and it's massively disappointing to see Apple ship inferior hardware to this extend.
No, they were never generous with RAM, but 1GB in 2014, even with iOS being optimized, on the flagship of their phones... it's just embarrassing, sorry but there is no way to sugarcoat this.

Glassed Silver:mac
Score: 3 Votes (Like | Disagree)
taptic Avatar
104 months ago
As with all the other iPhones, this will be a big 6s when Apple announces it.
Score: 2 Votes (Like | Disagree)
Agent-P Avatar
104 months ago
As with all the other iPhones, this will be a big 6s when Apple announced it.

I see what you did there
Score: 1 Votes (Like | Disagree)
thekeyring Avatar
104 months ago
The 6S rumours begin ;)
Score: 1 Votes (Like | Disagree)

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