Foxconn Suggests There is Still Opportunity for 5G iPhones to Launch on Time

[MacRumors]

In a private conference call with investors this week, Apple supplier Foxconn suggested that there is still a possibility that 5G-enabled iPhones will launch on time this year despite pandemic-related supply chain disruptions, according to Bloomberg.

Of course, Foxconn did not mention Apple or the iPhone specifically:

"We and the customer's engineers are trying to catch up the missing gap, after we lost some days due to travel ban. There's opportunity and possibility that we might catch up," Yang said. "But if there's a further delay in the next few weeks, months, then you probably have to reconsider launching time. It's still possible."

The report claims that trial assembly of new iPhones typically begins in early June ahead of mass production of the devices in August, so there are still several months for Apple to catch up should pandemic restrictions begin to be eased.

With hundreds of suppliers of iPhone components, however, Apple will have to rely on more than Foxconn to ensure an on-time launch.

Prior to the pandemic, it was rumored that Apple planned to introduce four high-end iPhone 12 models with notched OLED displays and 5G support in the fall, including a 5.4-inch model, two 6.1-inch models, and a 6.7-inch model. Following in the footsteps of the new iPad Pro, some or all of the models are expected to gain a LiDAR scanner for augmented reality.

Article Link: Foxconn Suggests There is Still Opportunity for 5G iPhones to Launch on Time

 

[JosephAW]

I have no desire to purchase a $1000+ iPhone. I'll have to wait a few years to get an older model iPhone 12 to get 5G. I like the plus size of my iPhone 7 Plus but it's wearing out and may have to purchase an iPhone 8 Plus for my next driver.

 

[RowellE]

Which means those poor factory workers will be forced to work even harder for longer for possibly no change in pay.

Yes, I say forced. If they don’t follow, they’ll most likely be replaced in a heartbeat.

 

[lkalliance]

I wonder what this means for the rumored SE 2/iPhone 9, which would have been announced yesterday if rumors and conjecture were correct. Though I don't know if it would have been assembled by Foxconn anyway, so that may not be relevant.

 

[deconstruct60]

"We and the customer's engineers are trying to catch up the missing gap, after we lost some days due to travel ban. There's opportunity and possibility that we might catch up," Yang said. "But if there's a further delay in the next few weeks, months, then you probably have to reconsider launching time. It's still possible."

Of course, Foxconn did not mention Apple or the iPhone specifically:The report claims that trial assembly of new iPhones typically begins in early June ahead of mass production of the devices in August, so there are still several months for Apple to catch up should pandemic restrictions begin to be eased.
.....

The question is more so not whether Apple/Foxconn can hit their usual date. The question is far more so what kind of quality product will they have at that September time frame. Usually the trail assembly occurs in June after several things have been fixed in Jan-April. There is no way they fixed the same number of typical bugs and defects in that time frame this year. The premise that they can fix more in the even less lead time this year with "work around" interactions .... is possible. But it is also possible that a meteor fall out of the sky and hits the Apple HQ space ship. The core issue is what is probable; not possible.

They lost "weeks" of time. Likely will see a slide of "weeks'. For Apple that will impact a Quarter reports miss. Foxxconn ( maybe .. not sure their calendar). So both likely whistling in the dark" to promote a "don't freak out" vibe for the stock markets.

If WWDC collapses ( or time shifts to later ) even more probable will see shifting of "weeks" . Even if the hardware were more minor adjustments to what already had working, Foxconn doesn't make more than "half" of the iPhone anyway. If the software is off then can get to point so buggy even Apple won't ship it. ( yeah , yeah , yeah ... Apple has better software rollout system now than the crap storm they had last Fall. But that system is unproven ( it is new) and the development context is now substantively different. )

 

[EugW]

I have no desire to purchase a $1000+ iPhone. I'll have to wait a few years to get an older model iPhone 12 to get 5G. I like the plus size of my iPhone 7 Plus but it's wearing out and may have to purchase an iPhone 8 Plus for my next driver.

iPhone 9 Plus would be great. 8 Plus would be pointless IMO in this context, but the 9 Plus probably doesn’t exist.

However, I’m likely gonna get a new 5G iPhone this year to replace my 7 Plus, even though my 7 Plus is in perfect condition (after I got my battery changed last year).

I’m also ready for a 5G A14X iPad Pro, preferably with mini-LED.

 

[The Game 161]

Which means those poor factory workers will be forced to work even harder for longer for possibly no change in pay.

Yes, I say forced. If they don’t follow, they’ll most likely be replaced in a heartbeat.

No different to all keyworkers...

 

[ouimetnick]

The question is more so not whether Apple/Foxconn can hit their usual date. The question is far more so what kind of quality product will they have at that September time frame. Usually the trail assembly occurs in June after several things have been fixed in Jan-April. There is no way they fixed the same number of typical bugs and defects in that time frame this year. The premise that they can fix more in the even less lead time this year with "work around" interactions .... is possible. But it is also possible that a meteor fall out of the sky and hits the Apple HQ space ship. The core issue is what is probable; not possible.

They lost "weeks" of time. Likely will see a slide of "weeks'. For Apple that will impact a Quarter reports miss. Foxxconn ( maybe .. not sure their calendar). So both likely whistling in the dark" to promote a "don't freak out" vibe for the stock markets.

If WWDC collapses ( or time shifts to later ) even more probable will see shifting of "weeks" . Even if the hardware were more minor adjustments to what already had working, Foxconn doesn't make more than "half" of the iPhone anyway. If the software is off then can get to point so buggy even Apple won't ship it. ( yeah , yeah , yeah ... Apple has better software rollout system now than the crap storm they had last Fall. But that system is unproven ( it is new) and the development context is now substantively different. )

WWDC is already going to be an online only event in June.

 

[recoil80]

I hope they'll take their time and release iPhone 12 a few weeks late like mid October, same for iOS 14. More time to test and perfect the product and the software release.

 

[Cosmosent]

Moot point, Buyer Sentiment "trumps" ANY & ALL manufacturing concerns !

 

[PickUrPoison]

I wonder what this means for the rumored SE 2/iPhone 9, which would have been announced yesterday if rumors and conjecture were correct. Though I don't know if it would have been assembled by Foxconn anyway, so that may not be relevant.

The latest rumor says the “SE2” will be announced in two weeks on April 15 and be shipping on April 22, but who knows.

 

[DelayedGratificationGene]

really? As buffet says does it really matter if it’s delayed? Apple will be making money for decades to come.

 

[Baymowe335]

I have no desire to purchase a $1000+ iPhone. I'll have to wait a few years to get an older model iPhone 12 to get 5G. I like the plus size of my iPhone 7 Plus but it's wearing out and may have to purchase an iPhone 8 Plus for my next driver.

Good thing you don’t speak for everyone. Many people are waiting this out, working at home, and can’t wait to start spending.

This sucks, but there are many people wanting the iPhone and other things.

In fact, it’s in the best interest of many to keep pushing if possible (safely) because people need jobs and money.

 

[iapplelove]

Good thing you don’t speak for everyone. Many people are waiting this out, working at home, and can’t wait to start spending.

This sucks, but there are many people wanting the iPhone and other things.

In fact, it’s in the best interest of many to keep pushing if possible (safely) because people need jobs and money.

Other than here on MR, I truly can’t find anyone who can’t wait to go out and waste a grand on a new iPhone once this is over. That’s the last thing on peoples minds especially with another looming financial crisis ahead.

Im lucky I guess, I work in the pharmacy industry where it’s business as usual and even I don’t care about the next 1000 dollar iPhone.

 

[wilhoitm]

Other than here on MR, I truly can’t find anyone who can’t wait to go out and waste a grand on a new iPhone once this is over. That’s the last thing on peoples minds especially with another looming financial crisis ahead.

Im lucky I guess, I work in the pharmacy industry where it’s business as usual and even I don’t care about the next 1000 dollar iPhone.

I am not sure you are right! I am buying the Pro model iPhone Day 1, two things I need are LiDAR for AR and also 5G. If there is a time where we need 5G it is now when everyone is sheltering at home! I don't know about you but my iPhone and MacBook Pro are critical parts of my daily life, it is 2020, not the 1800s!

 

[iapplelove]

I am not sure you are right! I am buying the Pro model iPhone Day 1, two things I need are LiDAR for AR and also 5G. If there is a time where we need 5G it is now when everyone is sheltering at home! I don't know about you but my iPhone and MacBook Pro are critical parts of my daily life, it is 2020, not the 1800s!

lmao my iPhone X is a critical part of my life as well. You need a brand new Mac and phone to get the job done?

 

[JPack]

Other than here on MR, I truly can’t find anyone who can’t wait to go out and waste a grand on a new iPhone once this is over. That’s the last thing on peoples minds especially with another looming financial crisis ahead.

Im lucky I guess, I work in the pharmacy industry where it’s business as usual and even I don’t care about the next 1000 dollar iPhone.

The reality is, consumer confidence numbers are already at a 3 year low and are continuing fall. Hardly anyone out there is looking to spend big money on non-essentials. Luxury brands have issued profit warnings and are expecting their worst year in history. Auto makers have shut down plants due to low demand. Your view is spot on.

 

[Seanm87]

Gonna have a lot of convincing to do to persuade me to upgrade from my trusty XR!

 

[timber]

They may launch it but who will buy it? With the economic tsunami that is coming...

 

[EugW]

They may launch it but who will buy it? With the economic tsunami that is coming...

I will. I’ve waited for 4 years already.

In fact, I will likely order on day 1.

 

[timber]

Well, there is a business case just right there. Pull the trigger Apple.

 

[44267547]

They may launch it but who will buy it? With the economic tsunami that is coming...

It’s already here. The tech industry Will suffer one of its worst years ever moving into 2020, and the iPhone will be a guaranteed victim. Maybe Apple with this iPhone launch, (rather it be in September, October, November, ect), can implement some type of special pricing to help with the sale.

I don’t think we need to have a major iPhone launch every 12 months (Partially due to saturation), if the economy continues on a steep decline, Apple might consider releasing this phone perhaps early first quarter 2021. Unfortunately, economic conditions might force them to re-strategize how iPhone launches will be moving forward given consumers are conserving v.s. Spending on new tech they don’t need, likely when their current iPhone is perfectly operable and does everything they need it to.

 

[lesiu]

And where is my iPhone SE2 / iPhone 9 ? Hope still on track.

 

[HappyIntro]

Well, Apple sold around 40 ~180 million iPhones in 2019. How many will they sell in 2020? 15 million? 20 million? It's really hard to say. Everyone is expecting Apple and others to experience a dive in sales and resultant revenue. I'll go out on a limb and say Apple's revenue and profitability will be greater if they are able to launch a new series of iPhones than if they put it off until 2021. So they have to press forward, if possible.

EDIT: Sorry, I originally stated 40 million phones sold in 2019 erroneously...lazy me and bad google foo on my part.

 

[EugW]

Well, Apple sold around 40 million iPhones in 2019. How many will they sell in 2020? 15 million? 20 million? It's really hard to say.

?

Apple sold 185 million iPhones in 2019. Its revenue was $260 billion. Of that, about 55% was iPhone revenue. That means that iPhone revenue was over $140 billion in 2019.

Everyone is expecting Apple and others to experience a dive in sales and resultant revenue. I'll go out on a limb and say Apple's revenue and profitability will be greater if they are able to launch a new series of iPhones than if they put it off until 2021. So they have to press forward, if possible.

Yes, even if Apple only sells 50% of what they usually sell in 2020 for iPhones, that would mean $70 billion in 2020. Most of that would be lost if they deferred to 2021.