Apple placing next-generation iPhone battery orders with Simplo and Desay
Aaron Lee, Taipei; Joseph Tsai, DIGITIMES [Wednesday 26 March 2014]
Apple has reportedly placed its next-generation iPhone battery orders with only two suppliers: Taiwan-based Simplo Technology and China-based Shenzhen Desay Battery Technology. Dynapack, a battery supplier for the iPhone 5 and 5c currently has no orders confirmed, according to sources from the upstream supply chain. Simplo, Desay and Dynapack declined to comment about rumors.
The sources pointed out that Desay landed over 50% of the orders; however, because the next-generation iPhone still has not yet entered mass production, Dynapack is still trying to court Apple for orders. China-based battery maker Sunwoda is also trying to land orders .
Dynapack is still the battery supplier of the iPhone 5 and will continue to supply batteries until 2015, which should give the company chance to land future orders, the sources noted.
However, some suppliers believe Dynapack may be able to improve its gross margins if it focuses on supplying batteries to other players, since iPhone battery profits are much lower than those of notebook batteries.