iPhone 16 Pro Sales Are Strong

CUPERTINO, Calif. — In a recent analysis by Ming-Chi Kuo of TF International Securities, it has been revealed that Apple's iPhone 16 Pro models have successfully met sales expectations. However, the base models, including the iPhone 16 and iPhone 16 Plus, are witnessing a softer demand compared to their 2023 counterparts.

Kuo remarked on October 9 that despite the mixed performance, Apple has continued to uphold assembly orders for the coveted iPhone 16 Pro models. This is particularly notable given the recent National Day holiday in China, where demand remained strong, indicating a robust consumer interest.

Softening Demand for Base Models

In contrast, component orders for the base models have seen a slight decrease of around 5%, which, while minimal, illustrates the shifting preferences among consumers. Notably, shipping times for the iPhone 16 Pro are significantly shorter than those for the iPhone 15 Pro, suggesting a more successful and stable product launch this time around.

Upcoming AI Features to Boost Demand?

Excitingly, Apple is set to unveil new AI-powered features, including the highly anticipated Apple Intelligence, later this month. Analysts speculate that these advancements could catalyze a surge in U.S. demand, potentially ushering in a super cycle for the company, spurred by the monetization of AI technology. Renowned Wedbush analyst Dan Ives forecasts a high single-digit sales growth for the iPhone 16, with the prospect of reaching double-digit growth by the end of the fourth quarter.

Overall Sales Projections

With these developments, Apple is projected to ship between 88 million to 89 million units this quarter—close to the previously anticipated 90 to 91 million units. This positions the tech giant for increased momentum in the coming months, keeping consumers and investors alike on the edge of their seats! Will the innovations promised in the AI realm be enough to revive the base models and fuel Apple's growth further? Stay tuned!