“Poor yields of fingerprint-recognition chips and LCD driver ICs will likely force Apple to reduce first-quarter shipments of the rumored iPhone 5S, which is slated for launch in September 2013, according to industry sources,” Josephine Lien and Steve Shen report for DigiTimes.
“The fingerprint recognition chip is designed by AuthenTec, of which Apple acquired for US$356 million in July 2012,” Lien and Shen report. “Issues related to the original design of the chip reportedly caused the lower yield rates, claimed the sources, adding that Apple outsources the production of the fingerprint recognition chips to Taiwan Semiconductor Manufacturing Company (TSMC) and the packaging of the chips to Xintec.”
Lien and Shen report, “About three million units of the initial shipments of iPhone 5S will be delayed to the fourth quarter, indicated the sources.”
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