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Apple puts pressure on its suppliers for the iPhone 7

iPhone 7 Plus Bleu Nuit 2 - Apple met la pression sur ses fournisseurs pour l

iPhone 7 Plus Bleu Nuit 2 - Apple met la pression sur ses fournisseurs pour l

Apple

Posted: September 1 2016
Updated: September 1, 2016

by Nicolas

The iPhone 7 would be at the center of tensions between Apple and its suppliers because of the costs, and this does not please everyone. The iPhone 7 should be presented within a week and it must delight Apple. However, behind the scenes, not everything looks rosy. Indeed, the Wall street journal reports that of suppliers complain about the conditions imposed by Apple.

iPhone 7 Plus Blue Night 2 - Apple puts pressure on its suppliers for the iPhone 7The smartphone market is no longer as flourishing as it used to be and Apple has suffered. Indeed, iPhone sales have declined and the Cupertino company may be left with too many stocks. In order to avoid this problem, Apple would have reduced production in volume iPhone 7, even if it could cause a slight shortage at launch. In parallel, Apple also reportedly asked suppliers to cut costs iPhone 7 manufacturing.

Some of them take it badly, because it feels like a double punishment: less production and less turnover. And all this so that Apple can maintain comfortable margins on its products. However, this looks quite important because Foxconn, one of the main partners, anticipates a 14% drop in revenue for the branch dedicated to Apple smartphones. Always according to Wall street journal, Apple would have brandished the threat to look elsewhere. Certainly, but there are not “36,000” assemblers in the world…