Following speculation about Apple facing supply constraints and iPad 2 production issues due to the Japan earthquake and tsunami, Reuters reports this morning a story from The Economic Daily News which, citing no sources, claims Taiwan-based AU Optronics Corp -- the world's #4 LCD maker -- has closed a multi-million dollar deal with Apple to ship iPad 2 displays this year.
AU could ship 30 million of the screens in a year, it said. The order will take up over half the capacity of its plant in Taichung, central Taiwan.
Apple ramping up production of the iPad 2 doesn't come as a total surprise. The device went on sale on March 11 in the United States generating long lines at Apple Stores and authorized retailers allegedly selling around 1 million units in the first days; a similar scenario followed two weeks later in the 25 countries that got the iPad 2 on March 25th. In the past weeks, iPad 2 shipping times from the Apple online store jumped from 2-3 weeks, then to 4-5 weeks and they've now settled with a 3-4 weeks wait on the US Store.