Can Apple Reshore the iPhone?
Description
"We're committed to supporting U.S. suppliers involved in every key stage of the chip-making process — from the earliest stages of research and development, to final fabrication and packaging." - Sabih Khan, COO at Apple
In April, President Trump said that he wants the Apple iPhone to be manufactured in the United States.
The iPhone's 2,700 components currently come from 187 suppliers in 28 countries, according to an article from the Financial Times, and less than 5 percent of the total components are manufactured domestically.
Apple ships 438 iPhones every minute, and 85 percent of them are assembled by Foxconn, with its dozens of locations in China.
Can Apple reshore the iPhone? We're all watching to find out.
In this episode of the Art of Supply podcast, Kelly Barner looks into whether this lofty goal could become a reality:
- What incentives does Apple have to make this work, and what are the disincentives to tolerate failure?
- How are they investing domestically in terms of capacity, partnerships, and talent?
- Are they thinking big enough to address the raw materials required in their silicon and battery supply chains?
Links: - Kelly Barner on LinkedIn
- Art of Supply LinkedIn newsletter
- Art of Supply on AOP
- Subscribe to This Week in Procurement
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