iPhone X demand could reach 50 million, may fall short on supply till 2018: KGI

By Digit NewsDesk | Published on 26 Sep 2017
HIGHLIGHTS
  • Apple has reportedly instructed its suppliers to slow down deliveries of the iPhone X’s components. The phone’s TrueDepth camera system is also said to be a major reason for delays in production.

iPhone X demand could reach 50 million, may fall short on supply till 2018: KGI

KGI Securities analyst Ming-Chi Kuo has said that Apple’s iPhone X pre-orders could touch the 50 million mark. According to a report by 9to5Mac, Kuo issued the statement after observing strong interest of consumers in the smartphone. A separate report by Digitimes states that Apple has asked its suppliers to slow down on the delivery of iPhone X components. The company is reportedly doing this in order to estimate the sales of iPhone 8 and 8 Plus, before kicking its iPhone X production in full swing.

As per Kuo, the main cause for iPhone X’s delayed production is the complexity of its TrueDepth camera system, which consists of more sensors than its rival smartphones. He further says that the device will face supply constraints throughout the first half of 2018. 

Apple has also reportedly instructed its suppliers to withhold the delivery of its iPhone X components. Digitimes states that only about 40% of the volume originally planned for iPhone X production is currently being shipped by suppliers. The report further says that Apple adopted the same strategy last year for the iPhone 7 as the company finished 60 percent of the originally planned quantities during initial production and finished up the remaining 40 percent a couple of months later. 

The KGI analyst says that the company is analysing sales performance of the iPhone 8 and 8 Plus and will begin iPhone X production in full gear by October. Kuo had earlier said that the iPhone X is eating up the pre-orders for iPhone 8 and iPhone 8 Plus. He also remarked that the iPhone X production is under 10,000 units per day and the new iPhone won't be easily available at least until 2018.

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