We are still a few weeks away from the release of the iPhone 15 series. Despite a majority of rumors sticking to the Saul launch month of September, it is reported that Apple is cutting down the production of the iPhone 15 due to supply chain and demand concerns.
As reported by 9to5Mac, analyst Jeff Pu has shared a note in which he is expecting Apple to produce as many as 77 million units of iPhone 15 by the end of 2023. Previously, this number was expected to be 83 million. The decrease of 11 million units in production is believed to be fuelled by two major factors.
iPhone 15 production slashes
First, Apple is believed to be facing supply issues, especially with iPhone 15 Pro Max models. Sony, the company that will supply the camera sensor for the high-end iPhone, is facing certain constraints that could lead to a delay in launching the iPhone 15 Pro Max.
In addition to camera sensors, Pu reports supply concerns around the new Titanium frame sported by the iPhone 15 Pro and Pro Max and the new display that will feature thinner bezels this year.
Reports regarding the delay of the iPhone 15 Pro Max have also emerged from other sources as well. It is believed that Sony, the camera part supplier of Apple, will not be able to deliver the image sensor to be used in the iPhone 15 Pro Max in time for Apple to ship the high-end iPhone with other models.
“Demand concerns”
The second reason why Jeff Pu says Apple has cut down the production of the iPhone 15 lineup by 11 million units is “demand concerns” . With the addition of Dynamic Island in standard iPhone models from this year, it is expected that Apple will increase the price of the iPhone 15 and iPhone 15 Plus in comparison to last year’s non-Pro iPhones.
This increased price could lead to low demand and therefore, Apple has decided to cut down the production as per Pu.
“The build plan cut before launch isn’t a positive signal, and the potential price hike for iPhone 15 Pro Max could also dampen the end-demand,” says Jeff Pu.
Japanese bank Mizuho has also reported that Apple has slashed the production of iPhone 15 from 83 million units to 77 million units. Supply issues are cited as the major reason behind the decrease by the banking firm.
Moreover, Mizuho has also predicted that Apple will produce a total of 217 million units of iPhones in 2023. Previously, this number was expected to be 227 million units.