Binu Paul email: b.paul@mobilenapps.com
At the time when LG Display is said to be framing new strategies to reduce its reliance on Apple, new reports suggest that the Cupertino tech giant has slashed the its 9.7-inch iPad panel orders from LG by 50 percent or more.
The hit-or-miss Taiwanese publication Digitimes reported that the massive order reduction is the result of a fast-growing demand shifts to the iPad mini.
"Apple has reportedly decided to cut shipments for its 9.7-inch iPad products in the first quarter to as low as six million units, down from Apple's originally estimated 12-15 million units, due to increasing popularity among consumers for the iPad mini," the report said citing unnamed sources.
The Apple move has resulted in a reduction of LG's capacity utilization rate at its P9 factory to about 60 percent. According to the sources, the capacity utilization rate may even drop to 50 percent throughout the first quarter. As a result, the average capacity utilization rate of LG Display is expected to remain at about 80 percent throughout the first quarter of the year.
However, LG is reportedly accelerating the production of 32-inch TV panels to increase the utilization rate at the P9 factory but it's going to be a bumpy ride for the company as it is likely to face tough panel supply competition from China-based panel makers.
LG Display is also facing increasing competition from Japanese companies Sharp and Japan Display and according to a recent Wall Street Journal report, the Japanese yen may work in favor of these companies if Apple would consider a different choice for display sourcing.
Earlier it was reported that Apple has reduced the supply order for iPhone 5's components by almost 50 percent due to weaker-than-expected demand, which gave way for fresh rumors of the decreasing popularity of iDevices.
most read
more stories from News
Discover the key features and security enhancements of Apple's iOS 17.5 update.
ernest hamiltonDiscover top iPhone apps that let you earn real money by playing games, scanning receipts, and staying active.
ernest hamiltonSamsung has reached a remarkable milestone, shipping nearly 3 billion smartphones since 2014. Discover how the tech giant's decade-long dominance and innovative advancements have solidified its leadership in the global smartphone market.
ernest hamiltonLearn about Apple's settlement in the class-action lawsuit over iPhone 7 audio issues, offering up to $349 compensation for eligible users. Dive into the details and implications of this landmark agreement.
ernest hamiltonThousands of Apple users experienced a major iMessage outage on Thursday evening, impacting communication across the U.S., Canada, and the U.K. Downdetector reported over 13,000 disruptions starting at 6 p.m. ET. Stay updated with the latest developments and potential fixes.
ernest hamiltonDelve into the complexities of managing screen time for children as parents navigate between practicality and idealism.
ernest hamiltonDiscover why the Pixel 7a outperforms the new Pixel 8a in this detailed comparison. Learn about the advantages in affordability, color options, and feature parity. Read now to make an informed choice!
ernest hamiltonDiscover the future of smartphone audio with Moondrop's MIAD 01. Explore its dual audio jacks and premium DACs in this in-depth review. Ready to elevate your music experience? Read now!
ernest hamilton