iPad Launch to be Delayed Up to a Month?
A recent article on the iPad blog, The iPad Guide, details the contents of a recent letter to investors from Canaccord Adams analyst Peter Misek which reports that the launch of the Apple iPad will be either delayed up to a full month or limited to the United States only. Though unconfirmed, the letter from Misek warns investors that Apple may have less than a third of the 1 million unit iPad inventory it has announced it would have come the March iPad release date.
The source of the delay is an "unspecified production problem" leading to production bottlenecks that is greatly reducing the number of units being produced by Taiwan's Hon Hai Precision, who manufactures the iPad for Apple. Misek suggests that Apple will have only approximately 300,000 iPads ready for sale at the end of the month.
Despite warning that the delay may hurt consumer interest, Canaccord Adams maintains a $250 price target for Apple stock come year's end, and maintains a buy rating. Misek also downgraded iPhone sale predictions for Q4, despite reports of higher than expected sales figures in Q3.
Whether the delay materializes will likely become clear over the next few weeks, though if it doesn't, Misek's predictions won't be the first analyst predictions to fall flat regarding Apple's inner workings. Presumably, Misek has a reputable source at Hon Hai and isn't pulling the production woes out of thin air. Likely, Apple will see some reduction in available units, but whether this causes a limited or delayed release is yet unknown.
[via The iPad Guide]