updated 01:39 pm EDT, Fri August 17, 2012
TV set claims contradicts WSJ report
Both a mini iPad and an Apple TV set are in "full production," argues Jefferies analyst Peter Misek. The iPad claim is based on checks with Apple's main supplier, Foxconn, which allegedly indicate that the company is planning to build 25 million new iPads during the September quarter, and another 30 million in the December quarter. The manufacturer also saw an unusual 5 percent monthly bump in revenues during July, which Misek suggests could be linked to building the new tablet. The extra iPad production is over 50 percent higher than Misek's own predictions of 16 million and 18 million units for the two quarters.
The TV claim is based on data from Sharp, Hon Hai/Foxconn, and various chemical and TV component suppliers. He moreover suggests that a new non-gaming customer picked up by JDS Uniphase could mean Apple, which may imply that the TV set will indeed have rumored gesture controls. "They indicated this is a new 'living room' based customer," the analyst writes. "We believe Apple will leverage AT&T's and Verizon's content deals for the iTV."
Possibly undermining Misek's TV claims is a report from the Wall Street Journal, suggesting that Apple is now working in the direction of a set-top box. The paper has also said that Apple has (so far) failed to get any licensing agreements with cable operators, which would be essential for the set-top, and possibly a dedicated TV as well.
"We expect either the iPad Mini to launch in CQ4 with the iTV either launching in CQ4 or CQ1," Misek comments. Based on the new product forecasts, the analyst has raised his price target for Apple stock to $900.