Apple is preparing to launch the iPhone 17 series this September, stirring excitement with the addition of an entirely new variant—the iPhone 17 Air. The lineup is set to include four models: the standard iPhone 17, the iPhone 17 Pro, the iPhone 17 Pro Max, and the all-new iPhone 17 Air, which is expected to introduce innovative features to Apple’s smartphone range. Now, ahead of head of iPhone 17 launch, Apple supplier Foxconn’s chairman, Young Liu, cautioned that advancements in generative AI and robotics could soon eliminate the need for low-cost human workers on production lines. Speaking at his keynote at Computex in Taipei, Liu emphasized that the impact of this shift would extend far beyond just iPhone manufacturing.
Liu revealed that Foxconn has experienced noticeable gains after integrating generative AI into its manufacturing processes. He stated that AI-driven software now handles roughly 80 percent of the activities involved in preparing new production lines, significantly boosting efficiency and reducing the time required for setup.
He noted that although the combination of automation and human insight can’t fully replace workers (despite attempts), it significantly accelerates problem-solving on the factory floor. However, he warned that this boost in efficiency could have serious consequences for what he described as “low-GDP” nations.
“AI is already helping resolve production issues quickly and allowing human experts to focus on more complex, value-driven operations,” Liu said. The company’s shift to AI-driven workflows marks a turning point in industrial manufacturing, combining what Liu calls “bots and brains” for smarter factories.
Even with recent developments, Foxconn continues to manufacture most iPhones in China. Although Apple is increasing production in countries such as India, Vietnam, and Brazil, China’s mix of skilled manufacturing capabilities and relatively affordable labor still makes it an attractive location.
The adoption of AI and robotics in production could lessen the dependence on inexpensive labor, potentially enabling Apple to explore manufacturing options in regions with higher expenses.
