iPad’s share down to 50 percent in Taiwan amid supply issues

DigiTimes reports that Apple’s share of the tablet market in Taiwan has dipped from 60 percent in May to 50 percent in June. Don’t worry, the decline is attributed to an demand and supply imbalance rather than competitive pressure from other tablet vendors. Of the 35,000 tablet PCs that shipped in the 22 million people market of Taiwan during June, iPad accounted for 50 percent of the volume and the other half was split between Asustek, Acer, ViewSonic and HTC. In other words, Apple sold 17,500 iPad units in the Taiwan market last month, amounting to a run-rate of 210,000 units. Industry sources warn that even though iPad should regain its share when supply is balanced, the onslaught of Android devices will put pressure on Apple:

Since demand for iPad 2 in Taiwan is still strong, the sources believe once the supply issue is resolved, the device’s shipment share in Taiwan should be able to climb back above 60 percent. However, as Android-based tablet PCs from non-Apple brand vendors are mostly set to appear in the third quarter, the appearance of these machines may still affect the share of iPad 2, the sources added.

In another report from this morning DigiTimes writes that panel maker Chimei Innolux shipped about half a million touch sensors for iPad 2 in the month of June, an increase suggesting improving yield rates compared to the first quarter of 2011.

In another report from this morning DigiTimes writes that panel maker Chimei Innolux shipped about half a million touch sensors for iPad 2 in the month of June, an increase suggesting improving yield rates compared to the first quarter of 2011. Apple typically sources components from multiple suppliers to reduce supply issues and the risk of exposure to a single supplier while sparking competition between parts maker which brings prices down. “In June, the Taiwan supply chain shipped nearly five million iPad 2-use touch sensors in total, including 1.4-1.5 million units from TPK Holding and Wintek, 1-1.1 million from Cando, and 400,000-500,000 units from Sintek photronic”, the publication explains. Last week DigiTimes ran a story claiming that Apple has asked its suppliers to begin delivering parts for the third-generation iPad and fifth-generation iPhone, both debuting in small quantities in September and in volume the following month. They are calling for an “even thinner and lighter” iPad 3 with panel resolution increasing to 250dpi. The Wall Street Journal followed-up with claims that iPhone 5 will also sport a thinner, lighter design and This Is My Next hinted at an all-new design because the current iPhone 4 design is apparently “out of favor” at the highest levels of the company “and folks are ready to move on to an entirely new product”.