Sunny Optical has won more orders for its 7P wide-angle lenses. As it ramps up production to make more of the upcoming iPhone 14, the company may become the main supplier of ToF lenses as well. Moreover, the company is increasing its production capacity to meet demand and plans to ramp up production in 2022. Those are reasons for investors to be interested in the company. So, what’s next for Sunny Optical?
Sunny Optical wins more orders for 7P wide-angle lenses
The Apple supply chain reveals that Sunny Optical has won more orders for iPhone 7P wide-angle lenses than Largan (30508-TW). This explains the recent price war, which has boosted the company’s overall supply of the lens. Among the three suppliers, Sunny Optical has captured over half of the market, which interfered with the profit performance of Largan and Jade. Jingguang is the lower-priced of the three suppliers. Sunny Optical’s high-end wide-angle lens will account for 50 to 60% of overall shipments of the 7P lens for iPhone 13 and 14 Pro.
It could also become the main supplier of ToF lenses for the iPhone 15
A recent tweet from Kuo pointed to a rising percentage of Apple’s 7P wide-camera lens orders going to Sunny Optical. While he doesn’t explain why Sunny Optical’s ratio is more than double the market consensus, he did provide details of the company’s latest survey. He predicts that Sunny Optical will be the main supplier of iPhone 15 toF lenses by 2023, when the iPhone 15 is expected to be available. Genius is currently the main supplier of the iPhone’s Time of Flight system.
It has increased its production capacity
Since the iPhone introduced its Time of Flight (ToF) camera system, Sunny Optical has been increasing its production capacity for the new device. It has also been able to catch up with Largan, Apple’s main supplier for iPhone lenses. As a result, Sunny Optical may be the main supplier for iPhone 15 lenses by 2022, and it may even take some of its work from Yujingguang and Largan.
It will ramp up production in 2022
The Chinese company is the leading manufacturer of vehicle lens sets. In the first half of the year, it will take 15-25% of the high-end lens orders. The company plans to ramp up production by 2022. However, it has faced difficulties shipping components to downstream manufacturers and assemblers. To overcome the issues, Sunny Optical will ramp up production in 2022. However, it will not meet the 2020 production goal due to supply constraints.
It will take 15-25% of high-end lens orders
According to Ming-Chi Kuo, Sunny Optical is expected to capture up to 15-25% of the high-end iPhone 14 lens orders over the next three years. The newcomer will take work from Largan and Genius, which are losing ground in the supply chain to Sunny. In addition, the newcomer will be able to ramp up production by 2022.