Asian Tech Press -- Taiwan's Foxconn will reportedly assemble and test some of the new iPhone camera modules for Apple Inc. to reduce its production costs.
Apple is changing the way camera modules are assembled for its iPhones, now opting to produce each camera lens individually rather than sourcing them together and pre-assembling them, Korean industry media outlet TheElec reported Thursday.
HyVision System Inc, a South Korean firm engaged in the manufacture and sale of automation testing and measuring equipment for camera modules in mobile phones, will provide camera module inspection equipment to Foxconn, as TheElec said.
About the layout of components, Foxconn Chairman and CEO Young Liu revealed in an corporate briefing call on Thursday that the company made the move into lens parts and modules, targeting other consumer electronics fields in addition to notebook applications, and the development of modules can improve gross margin performance, Taiwan's Central News Agency (CNA) reported Friday.
The Korean media report noted that Apple’s iPhone camera modules used to be produced by South Korea's LG Innotek, Japan's Sharp Corporation and China's OFILM. These camera modules are pre-assembled. Now, Apple is buying camera modules separately and handing over their assembly to its largest supplier Foxconn. This shift is an attempt to save costs.
The technology website Appleinsider analyzed on Thursday that after Foxconn gets inspection equipment, it has a chance to enter the supply chain of camera modules needed for Apple's iPhone, either by assembling optical lenses and other components or by supplying camera modules, instead of getting them from other manufacturers to assemble the iPhone.
To prepare for its new camera assembly, Foxconn has secured new inspection equipment from South Korea's HyVision System.
Supposedly, the new changes are intended to save costs, but it's not clear if those savings will result in lower prices.
It's not clear if the new camera assembly strategy has been applied to the upcoming iPhone 13. But given that production of the new iPhone has already begun, it should be unlikely.
