Apple is stepping up the use of automation and robotics across its supply chain, according to DigiTimes. While the company has encouraged greater automation in supplier facilities for over two years, sources familiar with the matter indicate that Apple now makes automation a standard requirement for awarding manufacturing contracts.
The move is reportedly aimed at reducing dependence on human labour, ensuring consistent product quality across facilities, and lowering long-term production costs amid efforts to diversify manufacturing beyond China.
The push for automation reportedly covers all major Apple product lines, including iPhone, iPad, Mac, and Apple Watch. Suppliers are expected to fund their own automation upgrades rather than rely on Apple for financing or equipment, marking a departure from the company’s earlier practice of investing in tooling and machinery for contract manufacturers.
The new requirement is said to be straining supplier margins, with high upfront capital expenditure and operational disruption during robotic system integration affecting profitability for some partners.
Apple continues to provide support in environmental initiatives. As part of its 2030 goal to achieve carbon neutrality across the supply chain, the company is assisting suppliers in upgrading to energy-efficient equipment and adopting sustainable materials.