Nokia reportedly to halve accessory suppliers, say source
Nokia reportedly plans to halve the number of its suppliers for handset accessories from over 10 currently to five in order to further strengthen the management efficiency of its supply chain and to reduce its production costs, according to sources at Taiwan's handset component makers.
Suppliers of power supply devices, hands-free and Bluetooth-enabled headsets, and speakers are likely to be affected most as Nokia will concentrate the orders for those devices on a few suppliers who are strong in technology, quality control, delivery and finance, the sources noted.
Nokia currently purchases hands-free devices, Bluetooth headsets and speakers from 7-8 suppliers, including Japan-based Foster Electric, US-based Plantronics and Taiwan-based Merry Electronics and Foxlink, indicated the sources, noting that those suppliers are likely to be cut to 3-4.
Merry, which currently only offers hands-free devices to Nokia, is expected to also land orders for Bluetooth headsets and speakers from the vendor in 2010, the sources projected.
Taiwan-based handset battery charger makers Phihong Technology and Lite-On Technology will also see orders from Nokia increase substantially in 2010 after China-based BYD, another major supplier of battery chargers for Nokia, was forced to recall a batch of flawed battery chargers in 2009, the sources commented.
In addition, Nokia is also expected to continue cutting suppliers for handset components and parts in 2010, asserted the sources, noting that current component suppliers, including Lite-On Technology (power supply devices), Silitech Technology (cases), Largan Precision (camera modules) and Foxlink (connectors) are likely to receive windfall orders from Nokia.
source
Suppliers of power supply devices, hands-free and Bluetooth-enabled headsets, and speakers are likely to be affected most as Nokia will concentrate the orders for those devices on a few suppliers who are strong in technology, quality control, delivery and finance, the sources noted.
Nokia currently purchases hands-free devices, Bluetooth headsets and speakers from 7-8 suppliers, including Japan-based Foster Electric, US-based Plantronics and Taiwan-based Merry Electronics and Foxlink, indicated the sources, noting that those suppliers are likely to be cut to 3-4.
Merry, which currently only offers hands-free devices to Nokia, is expected to also land orders for Bluetooth headsets and speakers from the vendor in 2010, the sources projected.
Taiwan-based handset battery charger makers Phihong Technology and Lite-On Technology will also see orders from Nokia increase substantially in 2010 after China-based BYD, another major supplier of battery chargers for Nokia, was forced to recall a batch of flawed battery chargers in 2009, the sources commented.
In addition, Nokia is also expected to continue cutting suppliers for handset components and parts in 2010, asserted the sources, noting that current component suppliers, including Lite-On Technology (power supply devices), Silitech Technology (cases), Largan Precision (camera modules) and Foxlink (connectors) are likely to receive windfall orders from Nokia.
source
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