Apple may look outside of Foxconn for the first time when it comes to the production of the iPhone.
Foxconn is currently experiencing major shortages in output for the iPhone 14 lineup, according to a new report from analytics firm TrendForce. Due to COVID restrictions being relaxed and an ongoing labor shortage, the company is struggling to keep up with the demands of the iPhone 14 — especially the iPhone 14 Pro and iPhone 14 Pro Max.
An outbreak in the city of Zhengzhou, where one of Foxconn's plants is located, has caused "the capacity utilization rate of the base yet to rise above the level of 70%." Due to the company's inability to keep up with demand, the analytics firm has decreased the expected amount of iPhone production in 2022.
Apple is going elsewhere for the iPhone 15 Pro Max
In addition to looking elsewhere for help in meeting iPhone 14 production, Apple has apparently tapped another company to assist with the production of the iPhone 15 Pro Max when it kicks into gear next year.
According to the report, "Apple has also made decision of employing Luxshare as one of the assemblers for the upcoming iPhone 15 Pro Max." Luxshare already servers as a production partner for Apple for a number of accessories, but this would be the first time that the company gets a shot at iPhone production.
In fact, this would be the first company to ever take iPhone production away from Foxconn, which has served as Apple's sole partner when it came to iPhone manufacturing. Funnily enough, Luxshare's facility that is likely to produce the iPhone 15 Pro Max is also located in China, where Foxconn's facilities are.
Outside of the iPhone 15 Pro Max, Apple is reportedly looking to increase its production outside of China in 2023. The company is attempting to double its production with suppliers in both India and Vietnam.
