Apple iPhone X demand is substantial but not exceptional: Bernstein Survey

By Karthekayan Iyer | Published on 24 Oct 2017
HIGHLIGHTS

Apple iPhone X goes for pre-order on October 27 and will go on sale starting November 3. The smartphone features an edge-to-edge display and new facial recognition technology called Face ID.

Apple iPhone X demand is substantial but not exceptional: Bernstein Survey

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Apple iPhone X, the updated iPhone with an edge-to-edge display and new facial recognition system will be available for pre-order starting October 27. The smartphone will go on sale starting November 3 and in the US, Apple upgrade program customers can start pre-ordering iPhone X now.

KGI Securities Analyst Ming-Chi Kuo has already detailed that Apple will have only 2-3 million units of iPhone X for sale during the launch. While the supply is expected to be constrained at the time of launch, a survey claims that demand for the device will not be exceptional. According to brokerage firm Bernstein's survey, the demand for iPhone X will be substantial, but only a quarter of the respondents planned to buy the new iPhone.

Apple iPhone X is one of the most highly anticipated smartphones of this year. The handset is also expected to have cannibalised the sales of iterative iPhone 8 and iPhone 8 Plus. Most analysts suggest that Apple received a muted demand for the iPhone 8 series since iPhone owners decided to wait for the iPhone X instead and Reuters reports that smartphone buyers in the US are continuing to purchase older iPhone 7 as opposed to iPhone 8.

Bernstein's survey highlights that smartphone users in the US, UK and China are excited for the iPhone X but that doesn't necessarily mean intent to buy the smartphone. It also notes that existing iPhone owners will remain loyal to Apple's mobile phones. "Consumer loyalty to iPhone remains remarkably strong, despite persistent complaints about high prices and worries about declining innovation, with only 3 percent of respondents stating that their next phone would *not* be an iPhone," Bernstein said.

Apple iPhone X starts at $999 in the US and will be available only in 64GB and 256GB storage variants. The smartphone is priced at Rs 89,000 in India and will be available from November 3. The survey raised doubt as to whether existing iPhone users will upgrade to iPhone X despite its limited supply.

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Karthekayan Iyer

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