Apple Watch Sport BlueA new report out of Taiwanese publication Economic Daily News [Google Translate] claims that Apple has cut the expected production and shipping targets of the Apple Watch by half due to manufacturing challenges leading up to the launch of the device. (via GforGames).

The company initially planned to manufacture between 2.5 and 3 million units of the wearable per month, following its launch on April 24. A claim by Economic Daily News now states Apple has lowered expectations to produce 1.25-1.5 million Apple Watches every month.

The website cites sources within Apple's supply chain, pointing towards production snafus on the manufacturing of the Apple Watch's AMOLED display as the main culprit behind the tempered production expectations. Although it has yet to be confirmed by Apple itself, Economic Daily News claims the introduction of a new type of display used in Apple's manufacturing processes - unlike the traditional LCD screens of iPhones - has resulted in a slower production rate on the Apple Watch leading up to the device's launch.

One of the reasons for this change in plans apparently lies in manufacturing issues with the display (which is being produced by LG), leading to 30-40% yield capacity. Plastic OLED panels use PET (polyethylene terephthalate) instead of a glass substrate, thus giving them flexibility and lightweight. The only problem however, is that manufacturing plastic OLEDs requires a different method of creating a vacuum between the OLED panel and the plastic substrate, other than the traditional water jet vacuum pumps. And because PETs are very sensitive to humidity it looks like manufacturing the Watch’s display is a more complicated process than initially expected.

The source also points to slow production lines thanks to manufacturer Quanta, who has more experience in laptop manufacturing than in smaller devices like the Watch. According to Economic Daily News, Apple is already looking at expanding manufacturing options by involving Foxconn in the wearable's production process in the future.

Similar production-related stories have circulated before the launch of other Apple-related products in the past. Due to the high volume of such reports leading up to a device's launch, and no official word from Apple, today's report out of Economic Daily News remains sketchy at best.

Related Roundup: Apple Watch Series 7
Tag: udn.com
Buyer's Guide: Apple Watch (Buy Now)
Related Forum: Apple Watch

Top Rated Comments

NT1440 Avatar
89 months ago
EVERY apple product has "anonymous sources" that claim manufacturing issues, then lo and behold they don't happen.

Anyone remember Jim Cramer laying out how hedge funds spread misinformation to short a stock?

http://appleinsider.com/articles/09/03/13/jon_stewart_exposes_apple_stock_manipulation


"Stewart played clips of Cramer describing — shortly before the iPhone was first announced — how hedge fund managers could spread lies about the product through either gullible or willing media sources, creating either fear or excitement that would distort the company's stock, allowing the fund manager to profit."

"Fomenting the market against Apple, however, "is very easy, because the people who write about Apple want that story. And you can claim that it is credible because you spoke to someone at Apple, because Apple isn’t in [a position to comment on unannounced products]. It is an ideal short."
Score: 14 Votes (Like | Disagree)
MH01 Avatar
89 months ago
EVERY apple product has "anonymous sources" that claim manufacturing issues, then lo and behold they don't happen.

Anyone remember Jim Cramer laying out how hedge funds spread misinformation to short a stock?

http://appleinsider.com/articles/09/03/13/jon_stewart_exposes_apple_stock_manipulation


"Stewart played clips of Cramer describing — shortly before the iPhone was first announced — how hedge fund managers could spread lies about the product through either gullible or willing media sources, creating either fear or excitement that would distort the company's stock, allowing the fund manager to profit."

"Fomenting the market against Apple, however, "is very easy, because the people who write about Apple want that story. And you can claim that it is credible because you spoke to someone at Apple, because Apple isn’t in [a position to comment on unannounced products]. It is an ideal short."

This.

Before the launch of an apple product we always get rumors that there will be limited supplies . Maybe it's a tactic to drive strong pre-orders :)
Score: 10 Votes (Like | Disagree)
dacreativeguy Avatar
89 months ago
I'll believe it when I see it. The haters say the same thing about every product around this time.
Score: 9 Votes (Like | Disagree)
mbh Avatar
89 months ago
What was the last Apple product that didn't have dire predictions about production issues?
Score: 8 Votes (Like | Disagree)
newyorksole Avatar
89 months ago
Not worried at all about this. Organisation is Tim Cook's strong point, so there will be plenty of Apple Watches to go round :)

Just like there were plenty of iPhone 6s and 6 Pluses to go around ?
Score: 8 Votes (Like | Disagree)
FieldingMellish Avatar
89 months ago
Murky to me. Apple is hedging its production bets under a practical excuse.
Score: 6 Votes (Like | Disagree)

Popular Stories

Upcoming Products 2022 Feature

Gurman: Apple Preparing 'Widest Array of New Hardware Products in Its History' for Fall

Sunday January 23, 2022 10:32 am PST by
Apple is working on a number of new products that are set to launch this fall, and Bloomberg's Mark Gurman says that it will be "the widest array" of new devices that Apple has introduced in its history. In his latest "Power On" newsletter, Gurman explains that Apple is working on four new flagship iPhones (iPhone 14, iPhone 14 Max, iPhone 14 Pro, and iPhone 14 Pro Max), an updated low-end Ma...
Questionable Design Decisions

Apple's Most Questionable Design Decisions in Recent Memory

Sunday January 23, 2022 2:59 am PST by
Apple has always emphasized the depth of thought that goes into the design of its products. In the foreword to Designed by Apple in California, a photo book released by the company in 2016, Jony Ive explains how Apple strives "to define objects that appear effortless" and "so simple, coherent and inevitable that there could be no rational alternative." But every once in a while even Apple...
macbook pro 14 16 2021

Three Months After Launch, Apple Still Struggling to Meet Demand for Redesigned 14-Inch and 16-Inch MacBook Pro

Monday January 24, 2022 7:12 am PST by
Three months after their launch, the 14-inch and 16-inch MacBook Pros continue to experience high demand and seemingly short supply, with shipping dates for both models stretching into multiple weeks in several of Apple's key markets. In the United States, the baseline 14-inch MacBook Pro with the M1 Pro chip is estimated to ship in three to four weeks, promising an arrival by at least...
att gigabit internet

AT&T Bringing $180/Month 5-Gigabit Internet to 70 Cities

Monday January 24, 2022 9:20 am PST by
AT&T today announced the launch of upgraded AT&T Fiber plans, which support speeds of up to 5 Gigabits for some customers. There are two separate plans, one "2 GIG" plan and one "5 GIG" plan, available to new and existing AT&T Fiber subscribers. According to AT&T, the new plans are available to nearly 5.2 million customers across 70 metro areas including Los Angeles, Atlanta, Chicago, San...
airpodsinear 1

AirPods Save Woman's Life With Feature Everyone Should Know

Friday January 21, 2022 2:13 am PST by
Apple's AirPods have been credited with saving a woman's life after a potentially fatal fall, People reports. When a 60-year-old florist in New Jersey tripped and hit her head in her studio, she lost consciousness and awoke heavily bleeding. With nobody around to call for help, she realized she had her AirPods in, and used a "Hey Siri" command to call 911. An operator was able to stay on the ...
AirPods Pro Gen 3 Mock Feature ugly yellow

AirPods Pro 2 Could Beat AirPods Max Sound Quality

Monday January 24, 2022 2:15 am PST by
Apple's second-generation AirPods Pro could deliver higher fidelity audio than the AirPods Max over-ear headphones, despite being comparatively small in-ear buds, recent reports have suggested. In a recent note to investors, seen by MacRumors, TF International Securities analyst Ming-Chi Kuo claimed that the second-generation AirPods Pro will offer improved audio quality thanks to support...
iCloud General Feature

Developers Unhappy With Bug Causing iCloud Unreliability

Monday January 24, 2022 10:15 am PST by
A number of developers are upset with an increasingly problematic iCloud server issue that is causing some apps that have implemented iCloud support to fail to sync properly. As outlined on the Developer Forums and on Twitter, there are CloudKit connectivity issues that have been occurring since November. Some users of apps that have iCloud support built in are seeing the following message:...
top stories 2022jan22

Top Stories: Spring Apple Event Rumors, Apple Opposes Sideloading, and More

Saturday January 22, 2022 6:00 am PST by
As we roll into the latter half of January, we're starting to hear more about a potential spring Apple event, which is likely to take place in March or April. There are a number of potential announcements on deck, so an event would be a good opportunity for Apple to get them all out there. We've also been going back and forth on some iPhone 14 rumors, and we've taken a look at a number of...