Explosion rocks iPad factory in Chengdu

The marketplace is anticipating a possible shortage of the popular IPad2 following reports that an explosion has hit the Foxconn Technology Group factory in Chengdu, China, which produces the iPad2.

May 24, 2011

The explosion killed two people and injured 16 – and has put a temporary stop to production.

Christopher Riley, MD of Pretoria-based notebook and accessories retailer, The Notebook Company [www.notebook.co.za], said it is not apparent exactly what affects the explosion will have on production – and therefore the supply – of the popular iPad2.

“We are naturally hoping that the affect will be minimal as sales of the Apple iPad2 are booming. Right now,” he said, “sales of iPads are tracking our sales of normal notebooks.”

He added that official Apple price in South Africa for the iPad2 64G wifi with 3G is currently R7 599,00 – but there is no stock and no clear estimated time of arrival (ETA). “Consequently we are buying the units at a premium and are managing to supply the market with units at R10 000.

“This is much higher then the official price, but if users want to get their hands on the new iPads, this is the only way to assure stock,” he said.

The explosion in China could worsen the situation.