The launch and sales of the iPhone 6 will not be affected by issues surrounding the production of the latest device's displays, an analyst said Monday. Rumors have circulated for months that snags in the screens' supply chain could delay the launch of the phone.
Apple Inc.'s (NASDAQ:AAPL) suppliers have reportedly faced serious issues with the production of bigger displays for the iPhone 6, which could force the company to delay the device’s release date. However, even if such an issue actually exists, it will not affect the launch and initial sales of the new iPhone, according to Rod Hall, an analyst at JPMorgan Chase & Co.(NYSE:JPM).
“This sounds like a typical late-in-the-game supply chain story that turns out to have no impact on launch dates or devices sales,” Hall wrote in a note to investors, obtained by AppleInsider. “We believe that initial supply could be slowed somewhat if there is any truth to this but we doubt that iPhone unit volumes in the fall are likely to be impacted.”
Hall’s statement followed a Reuters report last week, which said that a redesign of the backlight for the iPhone 6 had led to a setback in the production of display panels, temporarily suspending the screen-assembly process for some time between June and July. However, it was unclear at the time if this problem would delay the phone's launch or limit the number of units that would initially be made available to consumers.
Hall does not foresee Apple struggling with producing enough iPhone 6 units after the launch, though many reports had previously suggested that the company could postpone the launch of the 5.5-inch version of the iPhone 6.
Meanwhile, Apple has been rumored to bring Samsung Electronics Co Ltd (KRX:005930) back to its supply chain for the production of the iPhone 6’s dynamic random-access memory, or DRAM. Apple's other DRAM suppliers include Micron Technology, Inc. (NASDAQ:MU) and Elpida Memory Inc. (FRA:FNO), AppleInsider reported.