Apple iPad 2 Stock May Dip as Japan Crisis Halts Production
The ongoing crisis in Japan may make the iPad 2 even harder to get as production of components found in the Apple tablet grinds to a halt, reports CNN.
The iPad 2 uses NAND Flash memory, touchscreens, image sensors, batteries and special resin, all of which are tied to factories in Japan, according to CNN.
Japanese suppliers are responsible for 35% of the world's NAND Flash production and the East Asian nation is the “world's leading source of semiconductor and LCD manufacturing equipment”, reports CNN citing DisplaySearch.
As blackouts remain prevalent in some areas in Japan, global supply constraints have been "exarcabated", reports CNN, adding that many production facilities "won't be able to go online until the aftershocks stop".
iPad 2 shipping times have also shot up from three-to-five-days to as much as five weeks now in the US, according to CNN. And with the crisis in Japan having long-term ramifications on the supply chain, investors told CNN they are worried Apple cannot keep up with customers' demand.
“Apple always has supply constraints with its in-demand products, but now there are more broadband concerns about every component from the simple to the most advanced ones,” BGC partners analyst Colin Gillis told CNN. “The story's not over; we have to keep watching this.”
Apple is planning to launch the iPad 2 in 25 countries this Friday.
[via CNN]
The iPad 2 uses NAND Flash memory, touchscreens, image sensors, batteries and special resin, all of which are tied to factories in Japan, according to CNN.
Japanese suppliers are responsible for 35% of the world's NAND Flash production and the East Asian nation is the “world's leading source of semiconductor and LCD manufacturing equipment”, reports CNN citing DisplaySearch.
As blackouts remain prevalent in some areas in Japan, global supply constraints have been "exarcabated", reports CNN, adding that many production facilities "won't be able to go online until the aftershocks stop".
iPad 2 shipping times have also shot up from three-to-five-days to as much as five weeks now in the US, according to CNN. And with the crisis in Japan having long-term ramifications on the supply chain, investors told CNN they are worried Apple cannot keep up with customers' demand.
“Apple always has supply constraints with its in-demand products, but now there are more broadband concerns about every component from the simple to the most advanced ones,” BGC partners analyst Colin Gillis told CNN. “The story's not over; we have to keep watching this.”
Apple is planning to launch the iPad 2 in 25 countries this Friday.
[via CNN]
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