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Apple might face Ipad 2 component supply shortages

Key parts are difficult to replace
Fri Mar 18 2011, 10:01

MAKER OF SHINY TOYS Apple might face component supply shortages for its recently released Ipad 2 after the earthquake in Japan caused major disruptions for Japanese suppliers.

Apple could be missing several key parts for its tablet, including its electronic compass, battery and glass display, according to market research firm Isuppli.

The compass in particular will be difficult to replace. Yamaha, Aichi Steel, Alps and ST Microelectronics can all supply electronic compasses, but they cannot easily be replaced due to how sensitive they are. A complete redesign of the tablet could be required in order to use a different compass.

Five parts of the Ipad 2 come from Japanese suppliers, including NAND flash from Toshiba, DRAM from Elpida, the electronic compass from AKM Semiconductor, the display glass most likely from Asahi Glass and the battery from Apple's Japanese division.

The problem for Apple is that aftershocks of the recent earthquake make it impossible for semiconductor firms to restart business, as any later shock over five on the Richter scale results in shutdowns. This will further delay production of Apple's key components.

There might even be other components sourced from Japan that have not been identified by Isuppli and could make Apple's production difficult over the coming weeks and months, particularly because its latest tablet has been selling well.

If it fails to meet demand it will have a major problem on its hands, especially with many investors growing wary of its continuing growth potential after a stock downgrade. µ

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Comments
More quacking

@damian johnston you can't honestly be pretending to be that innocent can you? First you imply that Apple deliberately throttle supply in order to increase demand. This completely ignores two facts. Firstly that they sell in volumes that their competitors can only dream about (Verizon stated for example that the iPhone 4 had more preorders in the first 2 hours than any other phone they'd ever launched). Secondly the launch sales numbers jump by large percentages from one year to the next (300,000 for the iPad 1 to estimates of between 500,000 and 1,000,000 for the iPad 2). You think that building even 500,000 of a brand new design in less than a couple of months is an artificial limitation? Looks like a duck.

Secondly you claimed that the earthquake was convienient for Apple. Ignoring the breathtaking insensitivity of that, it has been decidedly inconvenient for them. They have a lot of retail staff in the country (which they are reportedly putting major effort into helping) plus their own manufacturing facilities for the custom lithium cells that they use in much of their mobile kit. You're honestly stupid enough to think that the earthquake isn't costing them bigtime? Walks like a duck.

Thirdly when someone made a comment about your post you then tack on a completely unrelated complaint about the quality of Apples' kit. Sounds like a duck.

posted by : Steve T, 19 March 2011 Complain about this comment
i didnt hear a duck quack

if you read the post correctly i neither condoned nor flamed apple in any way shape or form.
i only asked a question.

posted by : damian johnston, 19 March 2011 Complain about this comment
Only iPad2 items? Not iPhone?

Why does TheInquirer say this will only affect the iPad2? When many similar items are made by the same Japanese companies for the iPhone4+5 and other Apple products?

posted by : Carol, 18 March 2011 Complain about this comment
Looks like a duck, walks like a duck

Quacks like a duck. It's a duck.

@damian johnston, you write like a troll. If you don't like a product or manufacturer then all you have to do is not buy the product(s). Trolls spend their time posting about how bad something is ...

posted by : Steve T, 18 March 2011 Complain about this comment
Might face shortages.

Then again, it might not.

posted by : Gromit, 18 March 2011 Complain about this comment
very un sad

as i have no intention of spending a fortune on strictly mediocre kit i am not sad in the slightest.
GET BACK UNDER THY BRIDGE TROLL.

posted by : damian johnston, 18 March 2011 Complain about this comment
Here we go

Here comes the drama qeen!! Even in this article does find something to moan about apple! Such a sad people!!

posted by : Mike, 18 March 2011 Complain about this comment
whats new

can anyone name an apple product that didnt have short supply of something so it could whip up a feeding frenzy for its stuff?

this earthquake was just convenient for them.

posted by : damian johnston, 18 March 2011 Complain about this comment
aboutus
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