Things aren’t looking well for makers of components for smartphones, as supply chain firms in Taiwan and China are registering losses. It would appear that the release of the iPhone SE influenced their performance somehow.


These companies have become more conservative about their inventories, according to sources close to them. The iPhone SE has taken market share from local brands like Huawei, Xiaomi, Vivo and Oppo and since their earnings are affected, component makers are also hit. Camera module makers had a high level of inventories left over since 2015, which have piled up as device makers anticipated better sales.

Most of the brands only shipped about 80% or even 70% of their projections for the year. This means there’s a surplus of camera modules, which are left overs. Power supply makers also face such a gathering of parts, as Apple is revamping the internals of its iPhones. Apple is a giant that seems to be messing with everyone’s plans when it releases products. How impressive is that?

via Digitimes

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