Your view is perfectly right, Jbond. This will pose a big challenge in the industry if the demand/supply is impaired. It seemed people are having fun with the touch and scrolls. May be I could suggest this to other tech companies: why can't we have voice activated mobile phones? Let's get into it. The innovation strength of mankind is very unlimited. We just need to discover it.
Nevertheless, this is apple's era but the company has to keep the trend of supply in order maintain customers satisfaction.
You are right.Glass production is a very-very expensive process.
And it takes a very longtime to increase production dramatically.Right now they are dealing with it by delaying shipments to customers on a priority basis.
Which countries control glass production? (should I guess China?)
From what I've read glass production isn't very flexible, most industries run 24x7 and in order to really increase production you need a new one (which can take over a year to build).
With information being so vague and Apple doing something that makes a lot of companies and consumers wonder, you have to figure that this is either total hype based on Apple or there really is going to be a shortage. I would agree that with an estimate of close to 400% growth in such a short time, it would be hard to keep up with such a demand in such a short time. If this does happen, the repercussions would be felt industry wide.
I think enormous growth in demand is the major factor that may lead to bottlenecks as compared to monopoly. The rise in demand for touch-based displays has really been unprecedented. Even at this point I feel that experts may not be able to predict how high the demand will go in near future.
I have to wonder if any of this is being driven by Apple's announcement that it has signed long-term agreements with three or four display manufacturers. Apple has already committed the funds to the tune of $3 billion-plus. I think a good chunk of that is going toward screens that use technology that is narrowly licensed to a few producers. So the question becomes--what does Apple know that others don't? Or is Apple's investment fueling this concern and there really isn't a shortage at all? Love to hear back from readers on this....
Thanks for the great question; we followed up on that today, and as you've probably surmised, it's an issue on which few agree. A desire to ramp up production doesn't mean capacity can be built as fast as demand is growing. Here are some numbers to consider: 12 million tablets sold last year and 50 million predicted for this year in some corners. So that's a ramp up of more than 400% of capacity in six-eight months, or no product, right? We heard two things on the monopoly question. Some saw Samsung as the key player, with as much as 70% of the screens somehow under their umbrella. I could not confirm that number. Others said the market is already usefully diffuse. But no one has hard evidence of any of this, at least not here. It's surprising how vague the information is still. The numbers, at least the public ones, are soft, and that makes people nervous.
Not clear from your post where exactly are the problems in the Supply-Chain space.
Is it possible for you to expand further on this issue(regarding Displays??)
After all,are'nt most manufacturers ramping up capacity super-fast in this area?
Or do we have a monopoly of sorts which makes it easier to corner the market for a few goliaths???
What role do Chinese/Taiwanese OEM manufacturers play here?
EBN Dialogue enables and encourages you to participate in live chats with notable leaders and luminaries. Not only editors and journalists, but the entire EBN community is able to comment and ask questions. Listed below are upcoming and archived chats.
Archived Dialogues
Thailand Stages a Comeback Join EBN contributor Jennifer Baljko on Thursday August 23, 2012, at 11:00 a.m. EST for a live chat on how electronic manufacturers in Thailand have shored up their supply chain to reduce the impact of future natural disasters.
Euro-Crisis: What It Means for High-Tech Firms Join EBN Editor in Chief Bolaji Ojo and Contributing Editor Jennifer Baljko on Thursday, July 12, at 10:00 a.m. EDT for a Live Chat on high-tech and Europe's economic difficulties.
Microsoft Surface: Potential Winners & Losers What are the implications for the electronics industry supply chain of Microsoft Corp.'s decision to launch its own tablet PC? Join industry veteran and EE Times' systems and OEM expert Rick Merritt on Tuesday, July 3, at 12:00 pm EDT for a Live Chat on this subject.
Join EBN contributor Jennifer Baljko on Thursday August 23, 2012, at 11:00 a.m. EST for a live chat on how electronic manufacturers in Thailand have shored up their supply chain to reduce the impact of future natural disasters.
Peter Drucker famously said "Trying to predict the future is like trying to drive down a country road at night with no lights while looking out the back window." Yet in the razor's-edge world of electronics—with a lean supply chain and just-in-time demands—the need to know the future is vital.
While no one really can accurately predict the future, we can take guidance from another Drucker saying which is the best way to predict the future is to create it.
You've heard the saying "the No. 1 supply chain risk is your people." That hasn't always been the case. But today's complex global supply chain requires a new type of multitalented employee. It's one who understands, finance, marketing, economics, is savvy with technology, graceful with relationships and can think analytically.
Where are these people? Are universities properly preparing the next generation supply chain professionals? How do train your existing workforce for these new, demanding positions?
Brian Fuller, editor-in-chief of EBN, will lead a 60-minute Avnet Velocity panel discussion that will ask and answer these and other questions swirling around today's supply-chain talent challenges.
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