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Asian supply chain a hostage to Apple largesse

  • Author:naky
  • Source:www.diecastingpartsupplier.com
  • Release on:2015-06-05
As Apple basks in the unprecedented demand for its latest iPhones, suppliers from Tokyo to Taipei are sharing in the spoils. With iPhone sales up 40 per cent year-on-year in the first quarter, Murata — a Japanese producer of energy-storing ceramic capacitors that counts Apple as its biggest customer — said its operating profit rose 116 per cent from a year earlier.
Earnings at Taiwan’s Largan, which supplies iPhone camera modules, were up 61 per cent, while those of the South Korean iPhone screen supplier LG Display were almost eight times the level of a year before.
The booming earnings in Apple’s supply chain demonstrate the impact of smartphone market shifts on Asian component suppliers and assemblers that are the bedrock of the industry.
But the playing field for these groups is set to move, as competition intensifies between key players in the increasingly mature smartphone industry.

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