According to a new report by Economic Daily News (via DigiTimes), Apple supplier Quanta Computer is expected to enjoy strong revenues in the second half of 2017, in part because of ‘Apple Watch Series 3’ launch. The company, which manufactures MacBooks as well as the Apple Watch, had seen its notebook shipments growing every month in Q2 and the trend is expected to continue throughout the second half of 2017.
The report notes that although Compal Electronics has also joined the Apple Watch supply chain, it will probably handle older-generation models still on sale. Since 2015, flagship Watch production has been handled entirely by Quanta. It remains unknown if Apple will continue to sell the Series 1 Watches after the release of ‘Series 3’, which is rumoured to feature built-in LTE and sleep tracking capabilities.
Apple is reportedly planning to launch its third-generation Apple Watch in 2017 and the wearable is likely to help Quanta’s Apple Watch product line turn profitable.
For the server business, some market watchers expect Quanta to continue achieving a double-digit shipment growth on year in 2017 thanks to rising orders for datacenter and rack server products. Intel’s launch of the new Purley platform is also estimated to increase server demand.
Rumours have also suggested that Apple is working on “smart” bands that will expand features without requiring a new Watch.