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I wonder how significant the cost differences are for Apple with this move, especially since they mention previously manufacturing in the US and that many compo
by cmpolis 7y ago
I wonder how significant the cost differences are for Apple with this move, especially since they mention previously manufacturing in the US and that many components are sourced in the US. How high will the margins be on these devices??
- josho 7y agoApple previously (years ago) spoke about the importance of the supply chain, not price as the reason to mfg in China. Steve Jobs gave an example that if you needed to change the design to use a different type of screw then you'd have several manufacturers nearby that you could source from. That's just not possible in the US.
- ProAm 7y ago> That's just not possible in the US. This is a chicken and egg argument. Supply and demand fixes these things.
- mschuster91 7y ago> Supply and demand fixes these things. Not necessarily. A lot of know-how in many Western nations has died out over the last decades of off-shoring, and factories have long ago closed shop. You'd have to do a start from absolute zero and that needs more money, way way more money, than the US can afford.
- josho 7y agoYes. And there is no supply and no demand. I don’t see how you bring back either unless you are willing to support tariffs.
- giobox 7y agoFurther to this point, there is this story from earlier in the year regarding the problems Apple had just sourcing screws for the 2013 Mac Pro (trash can) in the USA: "He made do with his new machines, although he could not make the exact screws Apple wanted. His company delivered 28,000 screws over 22 trips. Mr. Melo often made the one-hour drive himself in his Lexus sedan." > https://www.nytimes.com/2019/01/28/technology/iphones-apple-china-made.html https://www.nytimes.com/2019/01/28/technology/iphones-apple-...