Here are your Apple rumors and AAPL news items for today:
Coming: A report from an Asian news outlet indicates that Taiwanese manufacturer Pegatron has landed a contract to produce some of Apple’s (AAPL) new flagship iPhone, AppleInsider notes. The Commercial Times says that Pegatron will produce 15% of the upcoming 4.7-inch iPhone 6 model. That likely means that Apple’s long-time iPhone manufacturing partner Foxconn will produce the remaining 85% of 4.7-inch iPhone 6 units. Production of the new iPhone is expected to accelerate during the second and third calendar quarters. Most analysts predict Apple will launch the 4.7-inch iPhone 6 in September. Recent rumors indicate Apple is also working on a 5.5-inch iPhone 6 model, which won’t launch until later this year, or possibly in earlier 2015. Pegatron currently produces iPhone 5c and iPhone 4S models. That production is not expected to be affected by the new iPhone 6 orders. Last year, Pegatron produced 35 million iPhones. The company forecasts iPhone production to rise to 50 million units this year. Earlier this year, rumors suggested that Pegatron was hiring new workers at one of its Chinese factories in anticipation of iPhone 6 production.
Compensation: Angela Ahrendts is getting hefty stock awards for joining Apple, Bloomberg notes. The former Burberry (BBRYF) CEO, who now heads Apple’s retail operations, has been given 113,334 restricted shares. The information was released on Tuesday in a regulatory filing. The shares given to Ahrendts will vest between June 2014 and June 2018. With Apple stock trading around $600 a share, Ahrendts’ stock awards — some of which are performance based — have a current value of about $68.1 million. Bloomberg notes that the stock awards are not unusual for Apple, which has employs four of the six top-paid technology executives, according to a recent corporate survey.
Gone: Apple is pulling its iPhone 4 from the Indian market, according to the Times of India. Apple resurrected and re-launched the dated model in India just four months ago. The iPhone 4 was offered at a very low price, compared to more current models, making it more attractive to buyers with limited incomes in developing markets like India. However, the low cost of the iPhone 4 may have compromised Apple’s profit margins. Analysts say that the $41 decline in the average worldwide sale price of the iPhone reported by Apple in the most recent quarter may be linked to the reintroduction of the iPhone 4 as well as price reductions for the iPhone 4S, which has become the best-selling iPhone in India. Apple is reportedly withdrawing the iPhone 4 from all developing markets in which it was offered.
For more about the company, check out our previous Apple Rumors stories.