A report in the Taiwanese publication DigiTimes claimed sources at
Pegatron Technology, a notebook manufacturer, has increased its
shipment of CDMA iPhones orders to 12-15 million units this year.
"Pegatron originally only forecasted internally to ship about 10
million CDMA iPhones in 2011, but as demand continues to stay strong,
the company has recently increased its internal shipment forecast to
12-15 million units," the report stated.
The new CDMA variant of the iPhone 4 is designed to be compatible with
Verizon's network, on which Apple will launch the popular mobile device
Feb. 10. While Apple shocked markets on Monday with the unexpected news
that CEO Steve Jobs would again be taking a leave of absence from the
company, another DigiTimes report
quoted unnamed sources saying "upstream partners such as Largan
Precision, Genius Electronic Optical and Asia Optical for optical lens
supply as well as Pegatron Technology, should not be impacted by the
Although the details of his condition and any potential return date are
not available, Steve Jobs's battle with pancreatic cancer since 2004 is
well documented. This represents his third medical leave during this
time. Similar to the 2009 medical leave, Steve Jobs has left Tim Cook
(COO) in charge of Apple. ???As arguably the most iconic CEO in the
world, we believe Apple's stock will come under heavy selling pressure
on Tuesday," said Ticonderoga Securities analyst Brian White. "If the
stock goes into a significant downturn in the coming weeks on this news
and/or further developments in the future, we believe Apple would be
wise to tap into its $51 billion net cash position for a significant
stock repurchase or a generous cash dividend."
Jobs's letter to Apple employees was posted on the company's Web site
Monday, explaining the board of directors has granted him a medical
leave of absence so he can focus on his health, but he would continue
to serve as CEO as Cook took over day-to-day operations. "I have great
confidence that Tim and the rest of the executive management team will
do a terrific job executing the exciting plans we have in place for
2011," Jobs wrote. "I love Apple so much and hope to be back as soon as
I can. In the meantime, my family and I would deeply appreciate respect
for our privacy."
However, the firm's general out look for the company was overwhelmingly
positive, citing Tim Cook's "excellent" performance as interim CEO
during Jobs's medical leave in 2009. "We believe 2011 will prove to be
a great year for the fundamentals at Apple as the iPhone gains
continued momentum and starts to tap into CDMA networks around the
world," Ticonderoga's report concluded. "Also, we expect the iPad to
start gaining mass adoption, while we anticipate the Mac product line
to remain strong."
Apple is scheduled to report its first quarter 2011 earnings results with a conference call set for this afternoon.