Increased iPad 2 Panel Supply From Chimei Innolux In 3Q

Chimei Innolux, the Taiwanese company which manufactures thin film transistor liquid crystal display panels, known as TFT LCD in the industry, has been certified for the iPad 3, rumours suggest.

The company already provides Apple with touch panels for its iPad 2. Chimei is planning to ship around 400,000-500,000 iPad 2 panels in the current month, Digitimes reports.

These figures seem to be contradicted by Chimei’s glass suppliers. They say that the Taiwanese company has not ordered many small or medium size glass units. Moreover, estimations suggest that Chimei could deliver less than 40,000 panel units in June. This is quite a conundrum since Chimei’s 400,000-500,000 unit target is far greater than glass maker’s estimations.

Nevertheless, Chimei has estimated that it will manufacture more than one million iPad 2 panels every month starting from July. The company is planning to focus more on IPS (in-plane switching) technology and incorporate it in touchscreen apps.

Apple is determined to do everything in its power to avoid any further stock shortages and has increased iPad 2 production. TPK Holding and Wintek are very close to reaching the monthly 3.5-4 million touch module unit target.

If Chimei is unable to manufacture more units, it could lose its Apple supplier status, some industry sources fear.