Remarks from a Sharp executive suggest that the company is countering rumoured production issues for the iPhone 5’s in-cell display successfully. An unnamed Sharp source told Reuters that it is now manufacturing “adequate volumes” of displays. Sharp is just one of numerous Apple’s screen providers, however, in late August, there were rumours that Sharp had fallen behind in plans to ship displays for Apple’s iPhone 5 due to manufacturing complications. Sharp’s complete production of the iPhone 5 display comes as prevailing shortages in Apple’s first round of launch markets are being compounded by today’s expansion to 22 new countries and several more carriers in existing markets.
Apple Has Sweetened Financial Incentives
Reuters today probed whether Apple might have “sweetened financial incentives” for Sharp in order to get the iPhone 5 deliveries out on schedule. Apple also deals with Japan Display and Korea’s LG Display to source its touch screens, which comprise in-cell technology that combines the display and touch screen into a single module, thereby permitting for a slimmer handset.
Production Delay Due To Apple’s Choice
Apple’s choice to use that thinner, lighter touch screen has added to the iPhone 5’s delayed shipping times, which currently stands at three to four weeks, Bloomberg revealed last week. Still, Cupertino has performed well, selling 5 million smartphones in three days. The company is also making a reasonable amount of profit on its handsets, which IHS iSupply lately established cost Apple about $207 to $230 to build. The phones carry a retail, on-contract price tag of $200 to $400, depending on the model.
Major carriers Verizon, Sprint and AT&T are at present selling the iPhone 5, but a few of regional carriers, including Cellcom, nTelos, C Spire, and GCI, started retailing the device today.