Vietnam to make Apple Watch and MacBook(asia.nikkei.com)
asia.nikkei.com
Vietnam to make Apple Watch and MacBook
https://asia.nikkei.com/Business/Technology/Vietnam-to-make-Apple-Watch-and-MacBook-for-first-time-ever
556 comments
Outside Paywall - https://archive.ph/pUZc3
I'm interested to know to what extent this is just assembly of parts imported from China, or whether the real control over things like the M1 chip assembly, secure element, logic board, etc. are also moved to Vietnam? Seems like that's the secret sauce / real proprietary stuff that tells you whether the high value is moving too. (or maybe that is not even in China either)
And do they have the surrounding parts + engineering ecosystems that is so touted as why China is the place to get things built?
And do they have the surrounding parts + engineering ecosystems that is so touted as why China is the place to get things built?
I wonder how long it will be until Apple is running their own fabs, or at least diversifies away from heavily relying on TSMC. Has anyone seen news to this effect?
Vietnam is the go to destination for stolen Apple equipment. Someone there is already an expert at unenrolling MDM, etc.
Makes sense to move manufacturing capabilities there, they are a step ahead. Perhaps it will result in vulnerabilities being closed.
Makes sense to move manufacturing capabilities there, they are a step ahead. Perhaps it will result in vulnerabilities being closed.
US companies are silently escaping China to limit effects of possible tariffs or even war. Imho this is a strategic move to ensure future.
Still a Chinese manufacturer… (Luxshare Precision Industry)
If it had been a non-chinese company, it would have been a great move. Western companies will need to reduce their reliance on China in their supply chains.
If it had been a non-chinese company, it would have been a great move. Western companies will need to reduce their reliance on China in their supply chains.
Same manufacturers in different country. I can't see a big change here.
A lot of comments here are criticizing Apple for chasing cheap labor.
Ignoring for a second the fact that this has a lot more to do with geopolitics and hedging geopolitical risk, I think it's important to think more carefully about the impact of companies investing in developing economies.
By and large, the factory work done by people in developing economies is dramatically better in terms of quality of life and safety than the agricultural work that they would be doing without economic development. It would be better if the factories were more often owned domestically (instead of owned by Chinese companies), but the actual workers are not suffering in the short term as a result of Apple bringing jobs. The complete opposite is true.
Ignoring for a second the fact that this has a lot more to do with geopolitics and hedging geopolitical risk, I think it's important to think more carefully about the impact of companies investing in developing economies.
By and large, the factory work done by people in developing economies is dramatically better in terms of quality of life and safety than the agricultural work that they would be doing without economic development. It would be better if the factories were more often owned domestically (instead of owned by Chinese companies), but the actual workers are not suffering in the short term as a result of Apple bringing jobs. The complete opposite is true.
Good for Vietnam. I visited the country in 2016 and fell in love with it, going back two more times. I’ve never seen a more hardworking, yet friendly people. They deserve all the success in the world.
Lots of manufacturing has been moving to Vietnam (and similar countries) as China is finally running out of low cost labour. This has been happening for at least a few years, more likely a decade I think
https://carnegieendowment.org/2020/06/18/is-vietnam-eating-i...
https://carnegieendowment.org/2020/06/18/is-vietnam-eating-i...
I wonder what Gavin Belson is up to. I'm thinking about the episode where Gavin opens up a plant in goldbriar north carolina (Not a real place)
Apple has never been upfront about the extent of manufacturing inside china and other countries.
I though we were going to move all those tech factories back home? I mean, we are literally paying for it, at least our taxes are.
good plot setup for Forest Gump II
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Better to have two not one communist state I guess.
reducing China risk is wise
At some point we should outsource our armies and perhaps even governments. If a real war starts we can use the services industry, unless we outsource that too. We’ll send the lawyers and software engineers in, and power our cardboard tanks with wood and steam.
I was hoping the pandemic and the war in europe would teach us that electronics, particularly high end, should be relocated to allied countries at the very least.
I was hoping the pandemic and the war in europe would teach us that electronics, particularly high end, should be relocated to allied countries at the very least.
In my dad’s lifetime we went from fighting a bitter war with Vietnam to building our most popular consumer electronics there. I wonder what we will build in Afghanistan in my retirement years.
I suppose this means Wisconsin is SOL.
https://www.theregister.com/2022/05/25/foxconn_wisconsin_fac...
https://www.theregister.com/2022/05/25/foxconn_wisconsin_fac...
I don't really see what the problem is with offshoring. If other people elsewhere want to work for cheaper, then it's fair competition. It's not like protectionism would work long term anyways. And in this particular case, Vietnam is more aligned with the US than China, geopolitically, so this makes a lot of sense.
>Apple suppliers Luxshare Precision Industry and Foxconn
lol this is a political move, they are just creating Vietnamese shell companies owned by their same Chinese suppliers to get some good PR.
lol this is a political move, they are just creating Vietnamese shell companies owned by their same Chinese suppliers to get some good PR.
And the products will be more overpriced than ever.
Doesn't seem far enough away or nuclear armed enough to be a very good backup plan.