Apple Has Two iPhone Supply Problems
- Paul Thurrott
- Nov 07, 2022
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23
Amid reports of the poorly-selling iPhone 14 Plus, Apple announced today that it will have problems meeting iPhone 14 Pro demand. But don’t fear too much for the world’s second-biggest maker of smartphones: it still expects to sell tens of millions of units of each.
“COVID-19 restrictions have temporarily impacted the primary iPhone 14 Pro and iPhone 14 Pro Max assembly facility located in Zhengzhou, China,” an Apple statement explains. “The facility is currently operating at significantly reduced capacity. As we have done throughout the COVID-19 pandemic, we are prioritizing the health and safety of the workers in our supply chain.”
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Apple goes on to note that it sees “strong demand for iPhone 14 Pro and iPhone 14 Pro Max models,” which might be viewed as an implicit acknowledgment that non-Pro iPhone models are not selling as well as expected. That makes sense because multiple reports have concluded that the iPhone 14 and iPhone 14 Plus, especially, are not meeting sales expectations.
According to JP Morgan, wait times for iPhone 14 Pro models are now over one month, whereas wait times for the non-Pro models are just 2-3 days.
The good news? Apple now expects to sell within 4 percent as many iPhones as it did previously, with the figure going down from about 90 million units to about 87 million units, according to a Bloomberg report.