Wednesday, April 27, 2011

Both Apple Suppliers; Samsung and AU Optronics Expand to Overcome Huge iPad 2 Demand


Two of the major suppliers of Apple; Samsung and AU Optronics are reported to have expanded their units for the sake of Apple’s extra-ordinarily high demand. It has been announced that Samsung will be hiring 300 new engineers and technicians in addition to their last years expansion in the semiconductor plant in Austin, Tex. This increasing expansion is largely due to the extensive demand for the iPad and iPhone. On the other hand AU Optronics has apparently won the contract of providing flat panel screens for the iPad 2.
Hugely Demanded iPad 2
EETimes reports identifies that Samsung’s Austin Semiconductor is a part of a $3.6 billion expansion and many sources confirm that it has been commissioned by Apple itself. Charmaine Winters, senior human resources manager at Samsung Austin Semiconductor quoted that these “Additional 300 new employees will now be joining the large batch of employees from last year's growth of more than 600 employees as part of the current expansion, bringing total employment to approximately 1,700. "
According to the accounts, Apple have plans to purchase $7.8 billion worth of components from Samsung this year, such as liquid LCD’s, mobile application processors and NAND flash memory chips. If this is true, it will make Apple the largest customer of Samsung.
A Taiwanese business newspaper, The Economic Daily News have published that AU Optronics, has become the world's No. 4 LCD maker as it received the first order for LCD screens for Apple's iPad 2. Same news was confirmed by Reuters. Reports say that these panels will be sold for 3-4times the actual price of regular panels representing huge profits for AU. Even the size of the order is most likely to take over half the production capacity at the plant in Taichung, Taiwan, the report said. 
The supply of the iPad 2 is completely lacking of its ever growing demand since the device's U.S. launch and after those 25 countries other countries just last week.

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