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  • Apple's iPhone 6 May Have Production Issues Due to Rising Sapphire Display Costs


    Supply chain sources on Weibo has recently claimed that Apple’s 5.5-inch iPhone may have a limited production volume because of high quality sapphire display material. The report has stated that producing the sapphire is at high cost and because of that, Apple may not be able to include the scratch-resistant material in a large volume of the smartphone model. It was noted that Apple’s sapphire display can cost 1743 yuan or $280 in materials, which is much more costly than the $44 estimated for the 4-inch Retina display in the iPhone 5s. The higher price in material may affect and increase the retail price of the next iPhone by almost 50%. This may be a problem because the price of the smartphone may be more than the affordability point for most consumers.

    These latest reports suggest that the sapphire screen costs around 1743 yuan (or $280), which would raise the final cost of the device to about 8000 yuan (or $1285) – at least in China. At the moment, the 16 GB iPhone 5S costs 5288 yuan in China ($850), whereas the beefier 64 GB variant is retailed at the price of 6888 yuan (or $1106)

    Analyst Ming-Chi Kuo’s earlier report, suggested that supply constraints might make Apple reserve the more expensive sapphire display for premium iPhone models like the 64GB version of the 5.5-inch dubbed iPhone 6. The company is starting to produce the sapphire materials in small quantities in the Arizona facility even though they are still purchasing from third-party suppliers. The sapphire production plant that is operated by GT Advanced and financed by Apple, is expected to produce anywhere between 100 and 200 million sapphire displays.

    Source: G for Games
    This article was originally published in forum thread: Apple's iPhone 6 May Have Production Issues Due to Rising Sapphire Display Costs started by Akshay Masand View original post
    Comments 6 Comments
    1. mlee19841's Avatar
      mlee19841 -
      Weird. About a week ago it was the battery causing it not to be released on time.
    1. bigboyz's Avatar
      bigboyz -
      "It was all good just a week ago" Well, it looks like it may be a bumpy start but when is it not. There is either an issue at the beginning of production or towards the end. Last time it was the screen discoloration and quality. Issues will arise...its about how Apple will make success out of such hurdles. Time will tell.
    1. edwilk55's Avatar
      edwilk55 -
      I wish they'd just go with Gorilla glass...gen 3 I believe. So much cheaper and easily replaceable by the end user if need be. I can't imagine what this stuff will cost if it does break...."if".
    1. PokemonDesigner's Avatar
      PokemonDesigner -
      Every iPhone has production issues. I feel like it's not really news. It should just be expected. Lol.
    1. Jahooba's Avatar
      Jahooba -
      Nearly $300 for just the screen material? That's insane. What next? Platinum headphone jack?
    1. SpidermanAPV's Avatar
      SpidermanAPV -
      Sapphire? Lame. When's my new diamond screen coming?