SECOND TRY: Apple Found Defects in Key Component of Apple Watch

Loading...
Loading...

A critical component of the new Apple Inc. AAPL Watch was found to be defective in early reliability testing, according to a report in The Wall Street Journal.

The taptic engines began to “break down” and required Apple to scrap some watches that were already manufactured.

The defect, which became known after mass production started in February, may have been partly to blame for supply shortages of the device, however, it was unknown to what extent.

The defective taptic engines were manufactured by AAC Technologies Holdings Inc., of Shenzhen, China while the ones produced by a second manufacturer, Japan-based Nidec Corp., did not have the same problem.

An Apple representative was quoted as saying, “Our team is working to fill orders as quickly as possible based on available supply and the order in which they were received. We know many customers are still facing long lead times and we appreciate their patience.”

Apple Inc closed at $128.64 Wednesday, down 1.47 percent.

Posted In: NewsWall Street JournalMediaAAC Technologies Holdings IncNidec CorpThe Wall Street Journal
Benzinga simplifies the market for smarter investing

Trade confidently with insights and alerts from analyst ratings, free reports and breaking news that affects the stocks you care about.

Join Now: Free!

Loading...