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Tesla’s Chinese rival BYD now assembles iPads for Apple.
BYD, China’s top electric vehicle (EV) maker and rival to Elon Musk-owned Tesla, has expanded its portfolio by venturing into the assembly of Apple‘s iPads.As The Wall Street Journal reports, BYD now assembles more than 30% of Apple’s iPads.The company has deployed over 10,000 engineers and another 100,000 workers exclusively for the job.
Transition into electronics: A strategic move
The move of BYD, an EV maker, into assembling iPads may appear strange. But, the two industries have a lot in common.EVs and tablets both depend on software, batteries, and chips.As the Wall Street Journal notes, in China, cars and phones are becoming more and more intertwined. This is visible in Xiaomi‘s recent foray into sedan manufacturing and BYD’s role in assembling both phones and car tech.
BYD’s collaboration with tech giants
Along with Apple, BYD also works with Huawei on its phones and EV software.The company’s electronics manufacturing work is not limited to Apple products, as it also provides hinge-related components for some of Samsung‘s foldable phones.These partnerships highlight BYD’s versatility and adaptability in the tech industry.
BYD’s long-standing relationship with Apple
BYD’s association with Apple goes back to 2009 when it started processing components for the tech giant.Gradually, BYD gained Apple’s trust and now supplies structural components such as metal, glass, ceramics, and sapphire along with assembly services.This long-standing partnership has contributed significantly to BYD’s business growth and diversification.
Impressive financial performance and expansion plans
In the third quarter, BYD’s revenue of around $28 billion exceeded Tesla’s $25 billion.This was primarily due to BYD Electronics, the company’s contract-manufacturing arm which brought in around $6 billion in revenue during the quarter.Moving forward, BYD plans to develop AI-powered robots with NVIDIA for factory use, hinting at a bright future for the company in both the EV and tech sectors.