By LIN Teng WU Yangyu
Apple is set to commence official mass production of its first-generation MR product Vision Pro (VP) in December, with the Chinese mainland supply chain share reaching around 60 percent.
In recent years, Apple has been caught in a vortex of external migration of the industry chain. The proportion of Chinese mainland supply chain components in the cost of the iPhone has gradually decreased, with only 2 percent provided by Chinese manufacturers.
Apple CEO Tim Cook attaches great importance to the VP, and China’s supply chain has been very good to Apple.
VP, Apple’s mixed reality headset, was released in June. In November, Apple held the second media experience event, and media outlets including CNET and the Wall Street Journal heaped praise on the spatial video experience.
For Cook, the VP could be the pinnacle of his leadership at Apple. Not only customers but shareholders want to see new revolutionary products after the iPhone.
In March and October, Cook visited China twice. During the second visit, he also visited the Luxshare production line in the local supply chain and expressed Apple’s viewpoint on mutual growth with the Chinese supply chain.
According to a report by the Financial Times, one key reason why Chinese supply chain companies receive Apple’s favor is their flexibility and strength. During the development of prototypes for the Vision Pro headset, they were able to meet Apple’s innovative demands.
In August, BYD Electronics announced the acquisition of Jabil’s production and manufacturing business in Chengdu and Wuxi, an important member of the Apple chain.
Companies have also accelerated the integration of non-domestic Apple chain factories. Earlier, in 2020, Lens Technology acquired part of the business of Taiwan’s Catcher Technology, another iPhone supplier.
Due to factors such as the US chip embargo, Chinese consumer electronics has been in difficulties.
Current indications suggest that with the return of Huawei phones and the arrival of new Apple products, the supply chain is experiencing a revival.
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