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Sharp reportedly earning share in Apple's supply chain

Its a good place to be these days as a preferred supplier of Apple components. Apparently, electronics manufacturer Sharp has taken full advantage and ...

Freddie Pierce
|Nov 22|magazine7 min read

It’s a good place to be these days as a preferred supplier of Apple components. Apparently, electronics manufacturer Sharp has taken full advantage and is earning an increasing share in Apple’s supply chain.

According to analyst firm Jefferies, Sharp has become a significant panel supplier for Apple’s iPad 3, iPhone 5 and iTV displays.

“We believe Apple has shifted display production and that Sharp has now become a large panel supplier, based on our checks,” Jefferies analyst Peter Misek told the International Business Times.

“We believe that the Gen 6 Kameyama facility has been exclusively taken over for Apple purposes with Apple purchasing $500 million to $1 billion of equipment for the manufacturing of iPad 3 and iPhone 5 LTE displays.”

Misek continued to say that he believes iPad 3 displays started being manufactured two weeks ago, and that Apple and Sharp have been able to make advancements in their IGZO (indium, gallium, zinc) technology to pull off 330 dpi, the equivalent of an HD display system without having dual-bar LED backlighting.

According to Misek, this could lead to a slimmer device whose battery lasts longer. Misek believes that the new iPad model will not mean that Apple will halt production on the iPad 2, which could see its price tag slashed by $100 to $200.

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Moving away from iPad 3 manufacturing, Misek confirmed what many had been speculating for some time: that the iTV could be launched in the middle of 2012. According to Misek, other television manufacturers are “scrambling” to see just what the iTV can and will be able to do.

According to the report on the International Business Times, “mainstream TV manufacturers are likely to be at least six to 12 months behind in a best-case scenario.”

That would keep Apple’s technology ahead of its field, once again. And it’s thanks in part to the company’s world-class supply chain management practices.

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