U.S. Disrupts China-Linked Hacking Campaign Targeting Government Agencies 
Google Changes EU Spam Policy Amid Antitrust Scrutiny 
Meta, U.S. States Discuss Settlement in Teen Addiction Trial 
HP Stock Drops 9% Despite Q3 Earnings Beat and Raised 2026 Outlook 
South Korea Unveils Record $597 Billion 2027 Budget to Boost AI and Chips 
OpenAI Data Center Chief Chris Malone Exits Ahead of Planned 2027 Listing 
Nvidia Options Price in $280 Billion Earnings Swing 
Nvidia Pauses AI Cloud Financing Deals Amid Antitrust Concerns 
Luxshare Shares Rise as First-Half Profit Jumps 18% 
Lenovo Shares Fall After Dropbox Security Breach Exposes ID Vulnerability 
SoftBank Eyes $20 Billion Bond Sale to Refinance OpenAI Loan 
BofA Names ASML Top Semiconductor Equipment Pick on Growth, Valuation 
Salesforce Shares Surge as AI Demand Powers Q2 Earnings Beat 
SpaceX Mobile Network Could Cost Up to $130 Billion, Bernstein Says 
Nvidia Reportedly Eyes $13 Billion Hugging Face Acquisition 
Add as a preferred source on Google
Apple's long-awaited premium true wireless earbuds, AirPods Pro 2, are expected to enter production later this year. However, it is reportedly moving to Vietnam as the iPhone maker is said to be planning to diversify its production sites outside China.
The report comes from TF International Securities analyst Ming-Chi Kuo, who said in a series of tweets on Tuesday that the AirPods Pro 2 mass production will start sometime in the second half of 2022. Moving the production to Vietnam is said to be one "successful case" of Apple's plan to produce key products in other countries.
(1/4)
— 郭明錤 (Ming-Chi Kuo) (@mingchikuo) May 24, 2022
1. AirPods Pro 2 will enter mass production in Vietnam in 2H22, a successful case of mass production of Apple's major products outside China.https://t.co/siWe9HItrd @WSJ
Kuo released his insights following a Wall Street Journal report that said Apple is looking to increase production outside China. The same report noted that India could be deemed as "the next China" in terms of Apple production due to its population size and low production costs. However, both the article and Kuo said that it would be easier for Apple's Chinese suppliers to set up new sites in Vietnam and other Southeast Asian territories for geopolitical reasons.
While moving the AirPods Pro 2 production outside China has reportedly been a success, the analyst suggested it might not be that easy to replicate for other Apple products. "The shift of AirPods Pro 2 production can be attributed to the relatively not complicated supply chain and Vietnam's better production environment (such as infrastructure and workforce) vs. most countries outside China," Kuo added. "It's very challenging to duplicate the successful experience of AirPods Pro 2 to other products or countries in the short term."
WSJ also noted that Luxshare previously shared the concerns of unnamed clients about production issues due to restrictions caused by the COVID-19 pandemic. Without naming any partners, Luxshare said these clients have asked manufacturers to perform the new product introduction (NPI) outside China.
NPI is a stage in production where manufacturers like Luxshare create a clear manufacturing plan based on product prototypes and concepts from its partners like Apple. While the AirPods Pro 2 production is expected to happen in Vietnam later this year, Kuo said the product's NPI is still in China.
A recent prediction from Kuo said Apple's transition to USB-C from Lightning ports for the iPhone could happen as soon as next year. The analyst also said the change could be implemented for Apple accessories like AirPods, and Kuo said he expects Apple to retain the Lightning port on the AirPods Pro 2. The true wireless earbuds are also expected to launch in the second half of this year.
Photo by Kreeson Naraidoo on Unsplash
