Employee buses enter the Pegatron facility near Chennai, India, March 7, 2023. REUTERS/Praveen Paramasivam
Apple has encountered setbacks after it dropped its exclusive assembly partner, Pegatron, and ordered it to transfer its MR headset assembly to Chinese electronics firm Luxshare.
Pegatron sold its production capacity to other global regions, including its Shanghai-based factory to Luxshare.
- The
move is expected to shift Apple's manufacturing operations from
Taiwanese companies to Chinese ones, unlike previous Apple launches.
- Pegatron is unlikely to see significant losses from the sell-off due to Apple's low-volume headset sales.
- The move comes after Pegatron diversified its production facilities globally, opening a factory in Chennai, India, to manufacture Apple iPhones.
- Luxshare
acquired Pegatron's share of Apple's supply chain and will manufacture
Apple Watches, iPhones, AirPods, and the MR headset.
- Due to ongoing rumors, Apple may reportedly cancel its plans to announce the MR headset at the upcoming Worldwide Developers Conference (WWDC) on June 5.