Career Technology (Mfg.) Co., Ltd. (Career), a FPC manufacturer, started producing the FPC antenna for iPhone X in November due to the order transferring effect. As one of only two suppliers of the FPC antenna, Career has led domestic FPC antenna manufacturers due to its advanced technology, materials, and equipment and expects to enjoy a better gross profit margin. Furthermore, Career has expanded its equipment and expects to increase its capacity by 30%-40% to support customers’ needs in response to intense market competition.  

 

        In terms of recent operations, Career obtained the order for FPC antennas transferred from Apple in October. Once the equipment was in place, Career started to produce in November, so the contribution to total revenue was not obvious in early November. Whether revenue in Q118 is better than that of Q417 remains to be seen due to the long holiday at Chinese New Year and the low season for other production lines.    

    

        In terms of technology, Career has experience manufacturing FPC antenna for international cell phone manufacturers with the complete development of thin lines and blind vias/buried vias. In the past, Career was the supplier for the Apple Watch and iPad. This year, as Japanese manufacturers failed to meet the FPC antenna requirements for iPhone X, Career became one of the replacements for the FPC antenna with the first-mover advantage and a better gross profit margin, thus benefiting product optimization.

 

        Equipment is one of the keys to manufacturing new products; materials are also of great importance due to the changes in materials and the manufacturing process of the FPC antenna of iPhone X. According to Career, whether to increase next year’s capacity to meet customers’ needs is currently being discussed. The total capacity in both Taiwan and China is expected to increase by 30%-40% compared to this year.

 

        Due to the shortage of FPC antenna, other FPC manufacturers also intend to enter the FPC antenna market. Currently, it has been said that Flexium Interconnect Inc. is actively making plans and is looking for alternative materials. It is expected to enter the FPC antenna market after obtaining customer verification. (Source: Money DJ)