Apple reportedly cuts iPhone 18 Pro orders amid low demand
What's the story
Apple has asked some of its suppliers to reduce the production of components for the newly launched iPhone 18 Pro and iPhone 18 Pro Max, Nikkei Asia reported. The move comes amid concerns over demand for the latest premium iPhone models. Higher memory chip costs and price increases have reportedly affected consumer interest.
Market response
Production adjustments may indicate a reassessment of supply requirements
The production adjustments could indicate a reassessment of supply requirements for the latest iPhone models.
However, the extent of these cuts and their potential impact on Apple's sales remain unclear.
Apple launched the iPhone 18 Pro and iPhone 18 Pro Max on September 9, expanding its premium smartphone lineup with a significant price hike.
Shipment strategy
Component orders for October
Industry sources familiar with the matter have revealed that Apple has grown increasingly cautious about device shipments since early September.
Two supply chain insiders told Nikkei Asia that component orders for October have been cut by 15% to 20% compared to initial production forecasts.
This is due to softer-than-expected market uptake of the iPhone 18 Pro and iPhone 18 Pro Max models.
Launch strategy
Apple reorganizing its retail rollout timeline
Part of the lull in shipment volume is due to Apple reorganizing its retail rollout timeline.
Instead of launching an entire hardware lineup at once, Apple prioritized three premium offerings this autumn while pushing entry-level devices to next spring.
The standard base-model iPhone 18 and a newly designed iPhone Air have been held back for an early 2027 release with component manufacturing expected to start by late 2026.
Financial outlook
Top-line revenue won't be impacted immediately
Despite the reduced shipment volume, it won't have an immediate impact on Apple's top-line revenue. This is because each new handset is priced at least 10% higher than its 2025 predecessor.
Also, Apple's manufacturing network is well-versed in adjusting production as per market demand changes.
However, analysts are keeping a close eye on early signs of customer fatigue due to recent price increases.