Apple heavily hedged its bets on suppliers of key components for new iPad

In what apparently marks the most recent indication of Apple’s strategy to rein in the costs of key components of the new iPad, as well as eliminate risks for the company, research firm UBM TechInsights has revealed that at least three manufacturers have supplied the key components of the new tablet.

According to the information shared by UBM, a tear-down of a few units of the new iPad – which hit the store shelves on Friday, March 16 – has shown that some components performing the same functions in different tablets had been produced by at least three different manufacturers.

The new iPad’s key components for which Apple heavily hedged its bets on suppliers include the distinctive high-resolution Retina Display of the new tablet, as well as its memory chips.

Noting that planning the manufacturing of devices around several component sources is a well-known strategy adopted by Apple, and the whole of the electronics industry, UBM’s technical marketing manager Allan Yogasingam said that the fact that Apple has involved different component supplier for its new iPad indicates that the company is making notably active attempts in mitigating risks.

With the breadth of component suppliers being one of the most noteworthy elements in the new iPad’s tear-down, UBM elaborated on the rationale behind the move saying that the strategy enables customers to play one supplier off another for slashing costs, and also minimizing the chances of disruption in case one single supplier runs into production problems.