Taiwanese Electronic Suppliers to Gain Growth Momentum from Apple’s iPhone 5 and iCloud

Taipei, Aug. 24, 2011 (CENS)--As Apple Inc.’s newest iPhone 5 and an iCloud edition are reportedly to hit the market in September, the company’s Taiwanese contract suppliers are expected to gain growth momentum in their revenues for the month, institutional investors indicated.

The recent global stock market upheaval along with weak economy and high unemployment has further dampened consumer markets in the U.S. and Europe. This, in turn, has also negatively impacted Taiwan’s electronics industry which should have enjoyed strong shipments on a seasonal boom in the third quarter of this year.

However, the upcoming launch of Apple’s iPhone 5 and iCloud iPhone is very likely to help some of them to revive business growths starting in September, noted market observers. They said the two new products are scheduled to be shipped on a small quantity in late August through September, and will heavily hit the market starting October.

Noteworthy is that the iCloud is regarded as a budget-priced iPhone, which will be priced at around US$400 per unit, US$200 cheaper than the first-edition iPhone, and will sell for an even lower unit price, or be free of charge, when bundled with telecom service contracts.

The global market survey institute iSuppli explained that the reason why the device is so competitive is application of the cloud computing storage technology, which allows Apple to cut 15% production costs through using less storage components in the product. Hopefully, iCloud will be sought-after in the middle-end segment and help Apple to further boost global market share to keep competitors behind itself.

Therefore, Apple’s Taiwanese electronic suppliers, including TXC Corp. (quartz components), Hon Hai Precision Industry Co., Ltd. (assembly), TPK Holdings Co., Ltd. (touch panels), Largan Precision Co. and Genius Electronic Optical Co. (camera lens modules), will benefit considerably from the two products mentioned above, thus securing growth drives for their revenues starting September.