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Is Apple Facing an iPad Supply Shortage?

Apple is expected to release its newest gadget, the iPad, in the next month. Or will it? One market analyst thinks that Apple might find itself squeezed for supplies and face an iPad shortage, enough perhaps to delay the launch. Datamation looks into the story.


Apple gained plenty of publicity for its new iPad, but at least one analyst thinks the company could come up short in meeting demand when the device ships later this month.

A research note issued on Monday from Canadian financial advisory firm Canaccord Adams warns the iPad may be in short supply when it first ships. Analyst Peter Misek wrote of rumors that there have been "production issues" at Apple's (NASDAQ: AAPL) manufacturing partner in China.

"An unspecified production problem at the iPad's manufacturer, Hon Hai Precision will likely limit the launch region to the US and the number of units available to roughly 300K in the month of March, far lower than the company's initial estimate of 1,000K units," he wrote.

He estimates that a delay would also impact April projections, and raises the specter that Apple might delay the launch by a month if there are a limited number of units available in March.

Read the full story at Datamation:
Does an iPad Shortage Loom?