The company is said to have placed orders for four million Apple Watches for the holiday quarter. Sales are expected to surpass ten million units in 2015 and there are plans to release a second generation device in 2016.
Apple is currently talking to Inventec, Wistron and Foxconn Electronics (Hon Hai Precision Industry) to seek another manufacturer aside from Quanta Computer, according to a Chinese-language Apple Daily report. Apple originally planned to place orders for six million Apple Watches for the fourth quarter, but has reduced the volume since demand for the device is not as strong as expected, the paper noted.
Quanta is said to have heavily invested in equipment needed to manufacturer the Apple Watch; however, its profit return has been weaker than expected. This is said to be concerning to other manufacturers who have been approached by Apple.
The second generation device will reportedly launch after the second quarter of 2016.
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