Apple’s demand for iPhones at its central manufacturer Foxconn is apparently higher than previously expected for certain models. The Taiwanese group, which operates most of its production facilities in China, is “cautiously optimistic” about business in September for the quarter as a whole. Sales in the past month are said to have increased by a very respectable 40.4 percent compared to the same quarter of the previous year – and by as much as 83.2 percent compared to August 2022.
Analyst estimates see “stormy demand”
Foxconn seems to benefit above all from the fact that business with the iPhone 14 is shifting towards the – expensive – Pro models. This year, these are much more distinct from the standard devices. Only these get the Dynamic Island and an always-on display, even the SoC is faster. For the more expensive devices, Foxconn can then charge a more expensive amount to manufacture, which in turn increases sales.
Individual Analysts like Neil Shah from Counterpoint Research even see a “stormy demand” for the higher-priced iPhone 14 Pro and iPhone 14 Pro Max models. According to the company, Foxconn’s increase in sales is said to have something to do with “a new product launch and mass production running smoothly”. At the same time, business in the “Smart Consumer Electronics” area is also going strong, according to Foxconn. As usual, the company does not call customers by name.
Foxconn: Lockdown, inflation and supply chain pressures
Nevertheless, the Foxconn management warns of various sources of danger. These included the “dynamics of inflation”, the corona lockdowns that continue to flare up regularly in China and the supply chain. “All of this needs to be closely monitored,” the company said in a statement. Apple’s shares, meanwhile, remain under pressure. In a poor overall market, they have already fallen by 20 percent since the beginning of the year.
But how business is actually going will only be revealed in the next quarterly figures. These will contain at least September, the launch month of the iPhone 14, 14 Pro and 14 Pro Max – and thus provide the first indications. At the same time, the iPhone 14 Plus is still missing, which will not be launched until October 7th, this Friday.
Tag: iphone design, iphone 14, apple iphone, iphone release