“Pegatron has been awarded a new contract to build Apple’s next-generation iPad tablets,” Zach Epstein reports for BGR, citing a Taiwan Economic News report.
“According to the report, Pegatron underbid Hon Hai for a new contract to manufacture the iPad 3, which will become available some time near the Thanksgiving holiday according to an earlier report,” Epstein reports. “Hon Hai, owner of infamous Apple manufacturing partner Foxconn, manufactures Apple’s current-generation iPad 2 tablet along with a number of other Apple products.”
Epstein reports, “While Apple is shaking up its manufacturing partners according to the report, it will reportedly retain the majority of its component suppliers.”
Read more in the full article here.
apple stock will double next year to 800$
I think that $800 a share is unlikely. The hedge and institutional funds won’t let Apple’s share price grow that quickly. They need to hold down Apple’s share price to churn on a daily or weekly basis. You see how easy it was for them to pull Apple down from over $400 down to $390 in a couple of days despite multiple upgrades and seeing how Apple is financially controlling the smartphone industry and putting continued pressure on the PC industry. Even Nintendo isn’t escaping from Apple’s gaming pressure. Nothing Apple is doing is good enough to keep Apple stock from being immune to weekly losses less than any other ordinary company.
I think that Pegatron may have gotten a contract, but I’m sure Apple needs contracts from multiple assemblers in order to meet iPad production. There’s nothing saying that iPad 2 production will immediately stop, so Pegatron may have initial iPad 3 production rights for a quarter or two.
A stupid story without any factual basis or technological logic. As if Apple will entrust an entire product line to an untried and untested supplier without first assigning partial responsibility to see how they perform over time. Complete and utter crap.
“A stupid story without any factual basis or technological logic. As if Apple will entrust an entire product line to an untried and untested supplier without first assigning partial responsibility to see how they perform over time. Complete and utter crap.”
Agreed
It should be remembered that BGR is a tabloid junk “reporting site”.
Most probably, the question was never about either Foxconn or Pegatron — both considered as manufacturers simultaneously.
This is why any responsible stock-forward modeling has to adjust for PBAJ and a latte/growth curve. $650 by ’13 assuming positive YUM is not only a safer call, but a better call.
LOL!
+1
Best analysis yet. Who could have predicted the current PBAJ to YUM ratio?
Especially with a latte!
Pegatron is not “untested.” They assemble the CDMA iPhone 4.
Untried and untested in so far as it concerns the manufacture of iPads. A gradual build up of responsibility makes more sense. Furthermore the number of units manufactured of CDMA iPhones is something like 10% of the total so ramping manufacturing of iPads to full stretch is yet to be tested.
But we don’t know how many iPhones Pegatron may be manufacturing for the expansion not the China market. Also, with iPad demand as high as it is, Apple has to add capacity somewhere and can simply increase QC measures during initial production cycles.
Pegatron is part of ASUS.
“In January 2007, ASUS started restructuring its operations.The company split into three distinct operational units: ASUS, Pegatron and the Unihan Corporation.”