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> They’ve vertically integrated everything else, and they’ve had great success along the way. Why would they want to get into the low-margin, high-risk part of
by rodgerd 6y ago
> They’ve vertically integrated everything else, and they’ve had great success along the way.
Why would they want to get into the low-margin, high-risk part of their supply chain, the bit where you can sink billions of dollars and have the value wiped out by a poor choice?
- threeseed 6y agoEspecially when semiconductor manufacturing has become a major geopolitical flashpoint between China, EU, US etc. Apple would be insane to get into the middle of it.
- kube-system 6y agoOr, that's exactly the reason to get involved in it. You don't want to rely on suppliers that are at high risk to implement trade barriers or worse. Apple has been moving production away from China over the past couple of years, no doubt in part due to risk (an Apple spokesperson has specifically cited risk as a reason). They've recently moved some production to suppliers in Vietnam, India, and even some has moved to the US.