iPhone 12 production is facing a new production issue. The new one is the camera quality issue being faced by the production team of the iPhone 12. Apple’s key supplier, that is the Genius Electronic Optical, has run into quality issues with camera lens production. It is stated by KGI Securities analyst Ming-Chi Kuo that Apple will most likely turn to its other main camera lens supplier Largan to make up for the losses. Though, reports are pointing out that this might be a huge loss of profits for Genius; but it is also mentioned as a minor obstacle. And Apple’s launch schedule wouldn’t be affected because of this.
What was the actual problem?
The investor of Ming-Chi Kuo mentions that the supplier i.e. Genius unfortunately discovered a problem with the camera lenses production. The wide-angle camera lenses for the lower end 5.4-inch and 6.1-inch iPhone 12 models are seeing some cracking coatings during high-temperature or high humidity (HTHH) testing. This major quality issues have caused Genius to delay in the production of its camera components for the upcoming iPhone 12.
What is the solution?
There is no big problem or issues due to the delay in production from Genius. Apple being a big and renowned company has its own ways and always has a backup plan to act into. Here, too it has other options. As Genius is not able to fulfil the demand on time, Apple may look to fulfil the initial demand from Largan; which is the other major supplier of Apple.
Though, there won’t be any delay in the launch schedule of Apple due to this production issues. The only problem is to be with Genius as it can face major loss due to this; and that can impact its profits. And, the company might need to cut down its prices by 30 percent as an incentive to gain Apple’s orders back into the track.