Jahwa Electronics said on Wednesday that it plans to spend 191 billion won on building facilities to produce new models.
The company currently supplies optical image stabilization (OIS) actuators to Samsung for the Galaxy S22 series smartphones.
The size of the spending plan, which will last until March next year, indicates that Jahwa Electronics had secured a new customer besides Samsung __ likely Apple __ and will begin supplying OIS actuators from its new facilities next year, people familiar with the matter said.
As reported by TheElec earlier, Apple visited Jahwa Electronics’ OIS production lines in South Korea during the first half of 2021.
As Cupertino conventionally asks its suppliers to build production lines exclusive for itself, Jahwa Electronics’ new facilities will likely supply only to the iPhone maker.
The South Korean parts maker will likely begin supplying Apple with OIS actuators during the second quarter of next year.
The new facilities at Gumi will require the iPhone maker’s approval after it is finished, so this process will at least take a year from now to conclude.
The OIS actuators made at the new facilities are likely for telephoto cameras.
Meanwhile, Jahwa Electronics is expected to continue using its facilities at Cheongju, South Korea and those in Vietnam to supply Samsung with OIS actuators.
The company exited the smartphone camera module business in 2020 and said it will only focus on OIS and autofocus parts.
Jahwa Electronics’ OIS actuator combines OIS and autofocus functions into one.