Timely rumor: Apple cuts monthly build of the Apple Watch in half to 1.25 million-1.5 million units

According to a report issued out of China this morning, Apple's plan to build 2.5 million to 3 million units monthly of the Apple Watch has turned out to be too ambitious a goal. Part of the reason stems from the lower than expected yield seen on the production of the display by LG. Due to the use of plastic instead of glass, manufacturing the plastic OLED screen has been more difficult than hoped with yields approaching a range of 30%-40%.

The report adds that the monthly build target for the smartwatch has been cut in half with Apple now planning on producing 1.25 million to 1.5 million units each month. Besides problems with the display, the actual assembly of the watch by Quanta is said to have run into yield issues as well. Some supply chain sources believe that at this point, Apple has been able to ship only 300,000 units of the Apple Watch each month.

Quanta is known more for manufacturing laptops, so the company might be having problems working on a smaller device like a smartwatch. According to the report, Apple plans on bringing Foxconn on board to produce some Apple Watch units which it hopes will bring up the overall yield so that the monthly build can be increased.

source: UDN (translated) via GforGames