iPhones are expensive and we all know that. However, Apple keeps trying to make them as affordable as it could get. And, to do the same, the company is moving to Chinese component manufacturers for its smartphones which is expected to lower down the overall prices of its iPhones and MacBooks in the future.
Apple used to work in collaboration with Taiwanese suppliers for its component manufacturing division. The suppliers would be solely dependent on Apple's orders and all the revenue would be generated by the company. However, Apple's growing concern towards the prices of its smartphones and its inclination towards Chinese suppliers have forced the Taiwanese companies to look for new customers.
Talking about the companies, the batteries of Apple's MacBook and iPhones would be supplied from Simplo Technology. But now, the Cupertino-based firm has started allocating the job to Chinese companies including Desat Battery Technology and Sunwoda Electronics. This has made Simplo get into electric bike and data centre's battery manufacturing. The same has happened with Apple's metal chassis maker who, after Apple shifting its order to other Chinese firms, had to grab orders from Chinese companies.
This shift of Apple has made the Taiwanese suppliers hunt for other orders but it could be lucrative for customers. Since Apple is expected to launch a budget iPhone next month, the move would have come owing to the need of keeping the prices low.