Japan ‘quake “not causing iPad 2 component shortages”

The Japanese earthquake and tsunami will not affect Apple’s ability to meet demand for the iPad 2, an analyst has said.

According to Barrons, ThinkEquity analyst Rajesh Ghai has played down reports that Apple is facing component shortages in the aftermath of the ‘quake.

“While some reports have stated that Apple will be facing component shortages for the iPad resulting from the Japanese earthquake, Hon Hai, Apple’s primary manufacturing source has stated that it does not expect any component shortages, and alternate suppliers have been lined up,” Ghai said.

He also said that Apple has “booked approximately 60 per cent of the total available touch panel capacity,” putting it in a position to cope with sustained high levels of demand.

Stocks of the iPad 2 have dried up in most of the 26 countries where it is on sale at the moment, with the online Apple Stores in the UK and the US both quoting a shipping delay of two to three weeks.

Ghai also said that a delay in the launch of the iPhone 5 might not be catastrophic for Apple. “The launch of a more feature-rich phone in the seasonally stronger second half could prove to be a boon for Apple in the long run,” he said.

The delay could also indicate that the iPhone 5 will boast NFC capabilities when it launches, Ghai said.

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Jim Love, Chief Content Officer, IT World Canada

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