Apple has had to shift camera module business from Sharp to LG Innotek to keep iPhone 13 production humming
It's being reported today that LG Innotek will take over some of the supply volume from Sharp for camera modules provided to Apple due to their factory in Ho Chi Minh, Vietnam being shut down due to COVID-19. More specifically, the factory has been ordered to shut down until September 15, right in the middle of iPhone production. LG Innotek's factory is an Haiphong, another city in Vietnam where there isn't any shutdowns at this time.
If need be, LG Innotek has a secondary camera module factory at Gumi, South Korea that can handle production volume that was supposed to go to Sharp.
People familiar with the matter said LG Innotek could be supplying up to 70% of the camera modules used by Apple for its iPhone 13 this year.
Last year, Chinese firm O’Film was removed from Apple’s camera module supply chain over human rights violations of the Uighur people. Both LG Innotek and Sharp saw their orders for camera modules increased from the move. It's being reported that Apple has ordered 20% more components for the iPhone 13 compared to iPhone 12.
All four models of the iPhone 13 series will have sensor shift technology, which means the unit prices for the camera modules will also go up. Sensor shift prevents blurry pictures by adjusting the sensor rather than the lens.