This account is pending registration confirmation. Please click on the link within the confirmation email previously sent you to complete registration.
Need a new registration confirmation email? Click here
Stocks Under $10 with 50-100% upside potential - 14 days FREE!

Apple Is Reportedly Boosting iPhone, iPad Production

NEW YORK (TheStreet) -- If you needed further evidence that the iPhone 5s is in high-demand, here's another data point.

The Wall Street Journal reported Apple (AAPL) is adding new manufacturing partners in Asia, as it seeks to boost production of both the iPhone 5s and the 5c, as well as the iPad, as demand continues to be rampant for the products.

Apple's normal manufacturing partner, Hon Hai Precision, also known as Foxconn, is working on building strictly the iPhone 5s, which is in short supply. Apple will outsource manufacturing of the iPhone 5c to Wistron Corp. The iPad mini is expected to be manufactured by Compal Communications, which would be a new partner for Apple, according to sources close to the matter.

"Apple has raised this quarter's iPhone 5S orders from Hon Hai as demand has been stronger than expected. But it takes time to boost production capacity and Apple can't find other assemblers to increase production to meet demand immediately," said a Hon Hai executive who was quoted in the story.

Apple couldn't be reached imediately for comment for this story.

Both Apple and Hon Hai have been at odds in recent months for a variety of reasons. There have been reports of unfair labor practices, as well as several defective iPhone 5s devices, which may have led to the decision for Apple to include another manufacturing partner to increase its supply chain, and increase demand.

Cupertino, Calif.-based Apple has continued to add to its supply chain, which is already complex. Compal, which is slated to make the iPad mini, has reserved a plant in China to start producing iPhones in China despite not getting orders from Apple yet. CEO Tim Cook has said that Apple's supply chain is incredibly complex and not to read too much into stories about any one supplier cutting production.

In this case, though, adding a new manufacturing partner suggests that it may well be not only an "iPad Christmas," as Cook said on Apple's recent earnings call, but an iPhone Christmas as well.

--Written by Chris Ciaccia in New York

>Contact by Email.

1 of 2

Select the service that is right for you!

COMPARE ALL SERVICES
Action Alerts PLUS
Try it NOW

Jim Cramer and Stephanie Link actively manage a real portfolio and reveal their money management tactics while giving advanced notice before every trade.

Product Features:
  • $2.5+ million portfolio
  • Large-cap and dividend focus
  • Intraday trade alerts from Cramer
  • Weekly roundups
TheStreet Quant Ratings
Try it NOW
Only $49.95/yr

Access the tool that DOMINATES the Russell 2000 and the S&P 500.

Product Features:
  • Buy, hold, or sell recommendations for over 4,300 stocks
  • Unlimited research reports on your favorite stocks
  • A custom stock screener
  • Upgrade/downgrade alerts
Stocks Under $10
Try it NOW

David Peltier, uncovers low dollar stocks with extraordinary upside potential that are flying under Wall Street's radar.

Product Features:
  • Model portfolio
  • Stocks trading below $10
  • Intraday trade alerts
  • Weekly roundups
Dividend Stock Advisor
Try it NOW

Jim Cramer's protege, David Peltier, identifies the best of breed dividend stocks that will pay a reliable AND significant income stream.

Product Features:
  • Diversified model portfolio of dividend stocks
  • Alerts when market news affect the portfolio
  • Bi-weekly updates with exact steps to take - BUY, HOLD, SELL
Real Money Pro
Try it NOW

All of Real Money, plus 15 more of Wall Street's sharpest minds delivering actionable trading ideas, a comprehensive look at the market, and fundamental and technical analysis.

Product Features:
  • Real Money + Doug Kass Plus 15 more Wall Street Pros
  • Intraday commentary & news
  • Ultra-actionable trading ideas
Options Profits
Try it NOW

Our options trading pros provide daily market commentary and over 100 monthly option trading ideas and strategies to help you become a well-seasoned trader.

Product Features:
  • 100+ monthly options trading ideas
  • Actionable options commentary & news
  • Real-time trading community
  • Options TV
To begin commenting right away, you can log in below using your Disqus, Facebook, Twitter, OpenID or Yahoo login credentials. Alternatively, you can post a comment as a "guest" just by entering an email address. Your use of the commenting tool is subject to multiple terms of service/use and privacy policies - see here for more details.
Submit an article to us!
DOW 17,117.20 +10.50 0.06%
S&P 500 2,000.32 +0.30 0.02%
NASDAQ 4,571.4220 +0.7850 0.02%

Brokerage Partners

Rates from Bankrate.com

  • Mortgage
  • Credit Cards
  • Auto

Free Newsletters from TheStreet

My Subscriptions:

After the Bell

Before the Bell

Booyah! Newsletter

Midday Bell

TheStreet Top 10 Stories

Winners & Losers

Register for Newsletters
Top Rated Stocks Top Rated Funds Top Rated ETFs