Foxconn Gains Over Half of MacBook Orders, Q4 Growth

Apple has recently introduced its latest MacBook Pro models, featuring the cutting-edge M3 series chips, available in both 14 and 16-inch sizes. Market reports have indicated that Foxconn has secured a significant share of the orders for Apple's MacBook series this year, buoyed by robust demand for the iPhone 15 Pro, resulting in a notable upswing in revenue for the upcoming fourth quarter.

Supply chain insiders have revealed that Foxconn, a prominent manufacturing partner for Apple, previously concentrated on producing entry-level MacBook Air models. However, this year, in addition to retaining its status as the top supplier for MacBook Air, Foxconn has also expanded its involvement in the high-end MacBook Pro supply chain. This strategic move has propelled Foxconn to a dominant position as the primary supplier for the entire MacBook series.

Foxconn anticipates that the second half of the year, traditionally recognized as the peak season for the ICT industry, will witness a gradual uptick in operations. This expected growth is particularly evident in the fourth quarter compared to the preceding quarter. During the third quarter, Foxconn reported a revenue of 1.54 trillion New Taiwan Dollars, signifying an 18.4% increase from the previous quarter and an 11.6% decrease year-on-year. Cumulatively, the revenue for the first nine months of this year amounted to 4.3 trillion New Taiwan Dollars, marking a 7.6% year-on-year decrease.

Despite projections of a stagnant or slightly declining laptop market in 2023, Apple's resilience remains noteworthy. The success of these newly launched products and their potential impact on growth in the fourth quarter of 2023 or the first quarter of 2024 will largely depend on consumer responses following their debut.

Foxconn, a key manufacturing partner for Apple's extensive product range, is poised to make a substantial contribution to its fourth-quarter revenue, as long as these new products are well-received by consumers.