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06 Numbers and Powers

Apple Watch Series 7 Production Issues Resolved? Kuo’s Take

Card No. 06·6502 · Updated · Standard formula, shown below

Yes, according to analyst Ming-Chi Kuo, the Apple Watch Series 7 production issues were resolved by late September 2021, allowing mass production to begin in October. The initial problems stemmed from complex manufacturing challenges with the new display and case design, but Apple and its suppliers managed to overcome them, leading to the watch’s release on October 15, 2021.

Background: What Went Wrong

Before the Series 7’s launch, reports emerged in August 2021 that mass production had hit a snag. The main culprit was the new, more durable display design. Apple switched to a tougher “crack-resistant” front crystal and a redesigned case with a flatter, more squared-off edge. This required a new lamination process where the display and cover glass are bonded together, and the initial yield rates were low. Suppliers struggled to meet Apple’s quality standards, causing delays in the production ramp.

Kuo’s Predictions and Updates

Ming-Chi Kuo, a well-known Apple analyst at TF International Securities, first flagged the production problems in a research note. He predicted that the issues would cause a delay in shipments, but not a cancellation. In late September 2021, Kuo reported that the production issues were resolved, with suppliers like Luxshare-ICT and Foxconn ramping up production. He also noted that the initial supply would be tight, but the situation would improve by November.

How the Production Process Works

Apple Watch production is a complex supply chain involving multiple suppliers. The key steps include:

  • Display manufacturing: LG Display and Samsung supply the OLED panels. The Series 7’s display is larger and has thinner borders, requiring precise cutting and lamination.
  • Case assembly: The aluminum or stainless steel case is machined and then assembled with the display. The new flat-edge design requires more precise milling.
  • Lamination: The display and cover glass are bonded together using an optical adhesive. This step had the lowest yield initially.
  • Final assembly: The case, display, battery, and logic board are put together by contract manufacturers like Foxconn and Luxshare-ICT.

Common Problems and Misconceptions

A common misconception is that the Series 7 was delayed due to a chip shortage. While the global chip shortage affected many industries, the Apple Watch’s production issues were specifically related to the display lamination process, not the processor. Another misconception is that the watch was released with a smaller battery than expected. In reality, the battery life remained the same 18-hour rating as the Series 6, despite the larger display.

How to Choose: Series 7 vs. Series 6

If you’re deciding between the Series 7 and the Series 6, here are the key differences:

  • Display: The Series 7 has a 20% larger screen area and a thinner bezel. It also has an always-on display that is 70% brighter indoors.
  • Durability: The Series 7 has a crack-resistant front crystal and is IP6X dust-resistant, a first for Apple Watch.
  • Charging: The Series 7 charges 33% faster than the Series 6, thanks to a new charging architecture.
  • Price: The Series 7 initially launched at the same price as the Series 6, making it a better value.

Cost and Availability

The Series 7 was priced starting at $399 for the 41mm model and $429 for the 45mm model, the same as the Series 6 at launch. However, due to supply constraints, early buyers faced shipping delays of several weeks. By November 2021, availability had improved significantly, and the watch was widely in stock. If you’re looking for a deal, the Series 6 was still sold at a discount after the Series 7 launch, but the newer model offers more features for the same price.

Safety and Durability

The Series 7 is rated IP6X dust-resistant and WR50 water-resistant, meaning it’s safe for swimming but not for high-speed water sports or diving. The crack-resistant front crystal is tougher than the Series 6’s glass, but it’s still not unbreakable. Apple recommends using a screen protector or case if you’re prone to drops. The watch also has an ECG app and fall detection, which can be life-saving in an emergency.

Alternatives to Consider

If you’re not set on the Apple Watch, consider these alternatives:

  • Samsung Galaxy Watch 4: A great Android option with a similar price and features like body composition analysis.
  • Fitbit Sense: Focuses on health and stress tracking, with a longer battery life of up to 6 days.
  • Garmin Venu 2: Ideal for fitness enthusiasts, with advanced workout metrics and a battery life of up to 11 days.
  • Apple Watch SE: A budget-friendly Apple option that lacks the always-on display and ECG but covers the basics.

Frequently Asked Questions

Did the production issues affect the Series 7’s features?

No, the production issues were purely manufacturing-related. The final product had all the features Apple announced, including the larger display, faster charging, and improved durability. The only impact was a delayed launch and initial supply shortages.

How long did the production issues last?

The issues were first reported in August 2021 and were resolved by late September 2021, according to Kuo. This meant the watch launched on October 15, 2021, about a month later than the typical September release.

Which suppliers were affected?

The main suppliers affected were Luxshare-ICT and Foxconn, who handle final assembly. The display lamination issues were related to LG Display and Samsung, who supply the OLED panels. All were able to ramp up production after the process was refined.

Is the Series 7 worth buying now?

If you can find it at a reasonable price, yes. The Series 7 offers a larger display, faster charging, and better durability than the Series 6. However, if you’re not in a hurry, the Series 8 (released in 2022) adds a temperature sensor and crash detection, which might be worth the extra cost.

Can I still buy a Series 7?

Apple discontinued the Series 7 after the Series 8 launched, but you can still find it at third-party retailers or on the refurbished market. Prices have dropped, making it a good value for those who don’t need the latest features.

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