Korean website ETNews reported that Apple finally decided to split up with AU Optronics. AU Optronics was Apple's supplier of components for iPad mini's second generation. The website added that Apple would depend on its rival, Samsung, as an alternative.
A source who declined to be named told ETNews that by now, Samsung "developed an LCD sample for iPad mini 2.″ This further implied that the two technology giants have been negotiating about a deal on components supply. Analysts stated that Apple's move back to Samsung made sense since their intellectual property disagreements were the very reason why a shortage of supply transpired for the original iPad mini.
"The problem is that AUO is a new supplier, and they're not able to get to the volumes that Apple needs," Richard Shim, NPD DisplaySearch's analyst, said. "So, essentially, there's just one supplier."
Today's reports suggested that AU Optronics was not able to meet the technical and timing standards for iPad mini's new generation. AU Optronics also struggled with issues on the production of components which accounted for its failure to catch up on manufacture.
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