What you need to know
- Apple's relationship with Foxconn is changing.
- The company is looking to diversify its supply chain.
- The moves are causing Foxconn to employ questionable business practices.
A new report from The Information (opens in new tab) (via MacRumors), details a potentially eroding relationship between Apple and its longtime partner Foxconn. According to the report, Foxconn's single-digit profit margins are causing the company to "employ questionable tactics" in order to grow its earnings.
Foxconn has apparently been dishonest with Apple about the number of employees it has hired as well as used Apple's own equipment to make devices for its rivals.
Former Apple and Foxconn employees tell a story about Apple beginning to change its relationship with Foxconn as it looks to diversify its supply chain.
The report goes on to talk about Foxconn's decision to cut corners back when the iPhone 7 was released, even going as far as to hide such information from Apple.
You can read the full report on Apple and Foxconn on The Information's website (opens in new tab).
Joe Wituschek is a Contributor at iMore. With over ten years in the technology industry, one of them being at Apple, Joe now covers the company for the website. In addition to covering breaking news, Joe also writes editorials and reviews for a range of products. He fell in love with Apple products when he got an iPod nano for Christmas almost twenty years ago. Despite being considered a "heavy" user, he has always preferred the consumer-focused products like the MacBook Air, iPad mini, and iPhone 13 mini. He will fight to the death to keep a mini iPhone in the lineup. In his free time, Joe enjoys video games, movies, photography, running, and basically everything outdoors.
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