Apple is said to be seeking a second manufacturer for Apple Watch 2, despite reducing its Apple Watch order for the fourth quarter on the back of weaker than expected demand. Inventec, Wistron, and Foxconn, Apple’s largest manufacturing partner, are said to be on its radar.
Apple has placed orders for 4 million Apple Watches for the fourth quarter, according to a DigiTimes report, but the company originally planned to order 6 million. It is said to have made the cut after finding that “demand for the device is not as strong as expected.”
But with Apple Watch 2 already in development, sources say Apple is now seeking a second supplier to work alongside existing Apple Watch maker Quanta Computer. It’s not totally clear why Apple is taking this step, but it clearly expects its next Apple Watch to be an even bigger hit.
The problem Apple is having right now, according to the report, is that suppliers are concerned about the returns Apple Watch will bring. “Quanta has invested heavily in equipment for Apple Watch’s manufacturing, but its profit return from the device has been weaker than expected,” the report adds.
A recent report revealed that Apple is already developing its second-generation Watch with “fully upgraded hardware and software,” and it’s thought the plan is to release it next spring.