Why iPhones are Made in China

New York Times recently reports that it is going to provide users with a great deal of information about why Apple turning to outside sources like China for iPhone manufacturing as well as how the co-founder Steve Jobs altered the iPhone 2G prior to its launch.

The New York Times’ report is based on a number of short stories from Apple employees who give direct accounts of why Apple opted to move their manufacturing overseas. The report also throws light on the President Obama’s Silicon Valley Dinner in February 2011. Many Silicon Valley executives attended the dinner, including Apple’s Steve Jobs and Facebook’s Mark Zuckerberg.

Many executives ask different questions to President Obama. However, when Steve Jobs were talking, President Obama interrupted him and asked “what would it take to make iPhones in the United States?” Steve Jobs replied “Those jobs aren’t coming back.”

The report also discuss about how the screen of the iPhone 2G was changed from plastic to glass prior to its release.

In 2007, a little over a month before the iPhone was scheduled to appear in stores, Mr. Jobs beckoned a handful of lieutenants into an office. For weeks, he had been carrying a prototype of the device in his pocket.

Mr. Jobs angrily held up his iPhone, angling it so everyone could see the dozens of tiny scratches marring its plastic screen, according to someone who attended the meeting. He then pulled his keys from his jeans.

People will carry this phone in their pocket, he said. People also carry their keys in their pocket. “I won’t sell a product that gets scratched,” he said tensely. The only solution was using unscratchable glass instead. “I want a glass screen, and I want it perfect in six weeks.”

Perhaps, many of us do have an idea why Apple opted for outsource their manufacturing. It is not only cheaper to outsource to China, workers are readily available than in the United States. Apple’s former Worldwide Supply Demand Manager Jennifer Rigoni said “They could hire 3,000 people overnight. What U.S. plant can find 3,000 people overnight and convince them to live in dorms?”

“The entire supply chain is in China now,” said another former high-ranking Apple executive. “You need a thousand rubber gaskets? That’s the factory next door. You need a million screws? That factory is a block away. You need that screw made a little bit different? It will take three hours.”

New York Times published a full 7-page report over the Apple’s intentions of outsourcing its manufacturing. If you want to have a look at it, visit this link.

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