iPhone X Demand Lower Than Anticipated in the United States

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Prior to iPhone X launch, there were multiple reports and rumors suggesting that demand for the handset will far surpass any of the previous iPhones. The initial demand for the handset seemed to have suggested the same, but a new DigiTimes report claims that in some markets, demand for the iPhone X has been lower than expected. This includes the United States, Taiwan and Singapore.

In Japan and some other markets though, the iPhone X continues to be in high demand with there still being a demand-supply imbalance. The report claims that Apple will ship around 30-35 million iPhone X units in Q4 2017, with the handset’s shipments remaining flat or dropping slightly in Q1 2018.

This is the first time that we are hearing of iPhone X demand being on the lower side in developed markets like the United States and Singapore. The improved availability of the iPhone X from the beginning of this month led many to question if the demand for the iPhone X was fading. The iPhone X is now available for next-day delivery in the United States and the U.K. ahead of the crucial holiday season. However, as per reputed analyst Ming-Chi Kuo, the improved iPhone X availability is due to Apple’s supply chain partners overcoming production woes with various iPhone X components.

The report also claims that Apple would be adjusting the price of its iPhone lineup in early 2018 and is working on an iPhone prototype with “pre-5G” features. It also reiterates that Apple is looking to launch three new iPhones in 2018, with two of them featuring an OLED display.

Incidentally, Apple Watch demand has been on the stronger side and its shipments saw a notable increase in all major markets in 2017. Thanks to the high demand, Apple is expected to ship around 27 million Apple Watch units in 2018 — up from the initial estimates of 23-25 million units.

Given the high price of the iPhone X, it seems strange that demand for the handset would be on the lower side in developed markets like the United States and Singapore where people are more likely to shell out $999 on a smartphone. Thus, I’d recommend our readers to take this news with a pinch of salt. The iPhone X was in short supply for a few weeks after its launch which clearly indicates that initial demand for the device was through the roof. Now, while the handset is more easily available, it is likely because Apple wants to ensure it does not miss out on customers looking to buy the iPhone X right before Christmas rather than demand for the handset subsiding.

[Via DigiTimes]

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