Apple iPad Release Could Be Delayed

There could be long lines for the iPad launch after all if reports of a delay in production are accurate. Analyst Peter Misek from Canaccord Adams says production problems at Hon Hai Precision mean that Apple could have only 300,000 units ready at launch.

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The company was planning to have one million units ready for sale in March, along with another 800,000 available in April. The limited numbers might result in Apple delaying the iPad release date or even limiting initial sales to the US only.

Misek believes the Taiwan-based manufacturer may be dealing with a production bottleneck or a shortage of components. He still expects Apple to sell roughly 1.2 million iPads during the 2010 fiscal year and 3.5 million units in 2011.

Apple has not made an official announcement of the iPad release date, however their website still says the product will start shipping in late March. The company is not taking orders but they have promised to notify users who sign up with their email address when the iPad is available.

Some early adopters could be disappointed if supply is limited, but the impact of a limited release on sales is unclear. Misek writes, "the only material impact from the iPad delay could come in the form of frustrated consumers and some modest loss of luster for the company's product launch."

Read more about this story and get the latest news and tips at the iPad Guide.