Ming-Chi Kuo Reveals iPhone 12 Faces Challenge In One Of Its Major Components

TFI analyst and reputable Apple tipster Ming-Chi Kuo predicts in a note to investors this week that the mass appeal of Apple iPhones will significantly boost demand for the LCP FPC components to 220 million come 2020, which is an 11 percent increase from its usual orders. Murata is the current sole supplier of Apple’s advanced antenna parts used for iPhone 11, and the company might not be able to meet the demands considering the predicted massive jump in orders. Because of this, Kuo predicts that Apple might have a problem with the supply of its advanced antenna for the iPhone 12.

Apple is predicted to incorporate LCP FPC hardware to roughly 75 percent of the iPhone 12 next year. The anticipated shift of the Cupertino-based tech giant to 5G mmWave technology is one of the driving forces for the high adoption rates and a spike in demand. 5G-enabled iPhones are anticipated to account for 15 to 20 percent of the entire shipment in the second half of next year, Kuo reveals.

Apple’s 5G iPhone 12 models will need three LCP FPC units, unlike the 4G models with only one LCP FPC unit, says Taiwan-based analyst. Aside from a 5G iPhone, the iPhone 12 is anticipated to adopt LCP FPC for its upper antenna. iPhone 11 models available in the market today use modified polyamide (MPI) FPC technology. Demand will undoubtedly spike with Apple Watch and iPad, reportedly incorporating flexible LCP designs in 2020.

When it comes to Apple’s FPC procurement strategy next year, the major challenge is in finding new suppliers that can provide massive and stable shipments aside from Murata, Kuo notes. Avary/ZDT is among Apple’s new suppliers that could provide the best chance to lower the supply risk for the company. At present, the firm supplies LCP FPC parts of Apple Watch, and Apple already qualifies the firm’s production lines.