Rumor: Apple Watch display yields low as assembly trickles

The Apple Watch is poised to sell as many units as Apple can supply us with. Just how many that will be is now in question. A non-confirmed leak points to supply chain issues with Apple Watch, which could deplete the overall yield by about 50%. The problem sis aid to be the display, which come sin 38mm and 42mm versions, and is supplied by LG. According to the latest rumors, Apple's stringent quality control standards send about 60-70% of the screens back.

Getting technical, the actual manufacturing process for the tiny OLED displays is said to be more difficult than originally expected. Plastic OLED panels, which are lighter and more flexible — thus making them ideal for use in a smartwatch — require a different manufacturing scheme. A Polyethelene Terephthalate (PET) is used rather than a glass substrate, which is causing LG to use a different process for creating a vacuum between the plastic substrate and OLED panels.

Down the line, Quanta is reportedly assembling the Apple Watch much slower than originally anticipated. Foxconn, a strong Apple supply chain partner, is said to be coming in to help with Apple Watch assembly in the near future.

The original thinking was that Apple would order 2.5 to 3 million Apple Watches monthly, which is now being downgraded to 1.5 million or so.

We already told you there would be lines, and a mere 15 minutes to check Apple Watch out in-store. If these rumors are indicative of what's happening during the manufacturing process, don't be shocked if you can't actually get yourself an Apple Watch come April.

Via: GforGames