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Shortages may foul Q2 plans for 20m iPhones, 7.5m iPads

updated 11:55 pm EDT, Wed May 11, 2011

Foxconn may not hit iPad and iPhone Q2 targets

Shortages at Foxconn triggered by the Japanese earthquake could limit ambitious plans from Apple for the spring, part suppliers said late Wednesday. Foxconn's Chengdu plant, used mostly for the iPad 2, is reportedly both lacking materials due to the quake as well as enough workers. Combined with problems at the main Shenzhen plant, the company might not make goals of shipping about 7.5 million to nine million iPads.

Tight limits also reportedly existed across Foxconn's iPhone plants as well as Apple's CDMA iPhone supplier, Pegatron, and could impact Apple's plans for its more established mobile hardware. The company is reportedly expecting to ship 20 million to 22 million iPhones in the spring, a rare sequential increase for an iPhone near the end of its life cycle, but might not make that goal if supply becomes a sore point.

None of the involved companies would comment apart from Foxconn saying it could shift staff to make sure it fulfills orders. Apple has previously said that it was shipping every iPad it could make and has had the same issue with iPhones, but it was certain it would ramp up iPad 2 production and anticipated the Japanese earthquake not being a serious factor for the next few months.

If on track, iPhone shipments could give Apple an even wider lead over RIM in smartphones. The BlackBerry creator has already warned of poor shipments that could be as low as 13.5 million. At 20 million iPhones, Apple would be moving almost 50 percent more.

by MacNN Staff



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