However, Foxconn and Pegatron so far withheld comment. In fact, the demand of iPad mini has been decreasing, it would be no surprise if Pegatron really closed its iPad mini manufacturing assembly line to assemble other profitable products like iPhone.

Foxconn was once the sole contract manufacturer for Apple. However, the iPhone maker has recruited more manufacturers in an effort to diversify its supply chains. Currently, Foxconn and Pegatron are two major iPhone assembly manufacturers. Since the 4.7-inch iPhone 6 Pegatron has taken 30 percent of iPhone 6 assembly order.

Liao Xian-yi, Analyst from Fubon predicted that the assembly order of the 4.7-inch iPhone 6s between Pegatron and Foxconn is almost fifty-fifty. In other words, Pegatron received more assembly order than iPhone 6. But Foxconn is still dominant in the 5.5-inch iPhone 6s and iPhone 6s Plus.

As a matter of fact, the sales of iPad mini are being crowded out by the the larger screen iPhone. If Pegatron would close its iPad mini manufacturing assembly, its iPhone manufacturing assembly order is likely to grow.

According to market information advisory firm International Data Co. (IDC), Foxconn position remained unchanged from the second quarter, while South Korea's Samsung Electronics Co. took first place in the global smartphone assembler list during the July to September period, also unchanged from a quarter earlier.

Taiwanese assemblers in general are reporting smaller output from the second quarter due to a component supply shortage for Apple Inc. devices and shrinking shipments of Sony Co. products, IDC said.