Apple Inc.’s (NASDAQ:AAPL) newest iPhone Air is struggling to realize traction, as high analyst Ming-Chi Kuo says the present iPhone Professional and commonplace fashions already fulfill nearly all of high-end customers.
iPhone Air Fails To Seize Market Share
On Wednesday, famend Apple analyst Kuo took to X, previously Twitter that demand for the iPhone Air has fallen in need of expectations.
He famous that the corporate’s high-end market is essentially dominated by the Professional and commonplace collection, leaving restricted room for brand new variants.
“This means that the present Professional collection and commonplace fashions already cowl nearly all of high-end consumer demand nicely, leaving little room to carve out new market segments and positioning — as earlier makes an attempt with the mini, Plus, and now Air fashions have all failed to realize traction,” Kuo wrote.
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Apple Cuts Air Manufacturing, Boosts Flagship Orders
Kuo’s assertion got here after it was reported that Apple had diminished manufacturing orders for the iPhone Air almost to end-of-production ranges. As per the report, manufacturing from November onward will drop to lower than 10% of September’s quantity.
In the meantime, demand for the iPhone 17 and iPhone 17 Professional has exceeded expectations, prompting Apple to extend manufacturing for these fashions.
Regardless of tariffs and a gradual world smartphone market, Apple plans to keep up iPhone 17 manufacturing at 85–90 million items.
Kuo additionally stated, “Most suppliers are anticipated to scale back capability by greater than 80% by 1Q26, whereas some elements with longer lead instances are anticipated to be discontinued by the tip of 2025.”
Robust Gross sales For iPhone 17 Drive Development
iPhone 17 fashions have outsold iPhone 16 items by 14% within the U.S. and China throughout the first 10 days of launch, based on Counterpoint Analysis.
Key drivers embody upgraded chips, bigger storage, higher shows and improved selfie cameras.
Following the Counterpoint report, Wedbush analyst Dan Ives stated, “With Apple on the doorstep of becoming a member of the $4 trillion market cap membership, it’s clear that Prepare dinner & Co. have a success with iPhone 17. Now it’s the AI roadmap.”
Loop Capital’s Ananda Baruah, who upgraded Apple inventory to Purchase, stated this might mark the start of a multi-year iPhone progress cycle extending by way of 2027.
Apple is ready to launch its fourth-quarter earnings after the market closes on Oct. 30. Analysts surveyed by Benzinga Professional anticipate the corporate will report earnings of $1.76 per share on income of $101.67 billion.
Benzinga’s Edge Inventory Rankings place Apple within the 76th percentile for High quality, reflecting stable long-term fundamentals and powerful investor confidence. Click on right here to see the way it compares to rivals.
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Disclaimer: This content material was partially produced with the assistance of Benzinga Neuro and was reviewed and printed by Benzinga editors.
