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iPhone 15 demand will be lower than iPhone 14, says Kuo

Render of the forthcoming iPhone 15 Pro


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Analyst Ming-Chi Kuo says that Apple's hardware sales for the rest of the year, including the iPhone 15, are expected to be lower than last year's figures.

Ahead of Apple's latest earnings call on August 3, 2023, Ming-Chi Kuo reports that his supply chain sources believe that shipment forecasts "are almost universally weaker in 2H23 than in 2H22."

Apple announces new iPhones in the second half of the year, but Kuo says that this will not be enough to make a difference.

"Although the 4Q22 iPhone shipments had declined due to the shutdown of Hon Hai's Zhengzhou factory in November 2022, most component shipment plans didn't change significantly in 4Q22," writes Kuo in his full report. "Unless the demand for the iPhone 15 is better than market expectations after launch, most of the suppliers will face growth pressure in 2H23 as the demand for iPhone 15 is lower than that of iPhone 14."

"Therefore, unless Apple clearly indicates that it's positive about market demand in 2H23 or 2024," says Kuo, "this [latest Apple] financial report is unlikely to be a positive for most suppliers' stock prices."

Other analysts are expecting that Apple's latest earnings report will benefit from high demand for the iPhone 14 in China.

Separately, the iPhone 15 is rumored to be bringing significant updates across the range. The lower end iPhone 15 and iPhone 15 Plus are expected to gain the Dynamic Island that was introduced with the iPhone 14 Pro.

Then the iPhone 15 Pro Max is rumored to have improved camera systems, this time including a periscope lens, which will greatly extend its zoom capability.



18 Comments

retrogusto 16 Years · 1140 comments

Separately, the iPhone 15 is rumored to be bringing significant updates across the range.

I clicked this link to see if there was a rumor I had forgotten about, but apart from the periscope lens on the Pro Max and a potentially more efficient processor, I don’t see how any of these changes would significantly improve the iPhone experience. Would anyone really pay hundreds of dollars for slightly thinner bezels? Maybe somebody shooting ProRes video on a daily basis would benefit from a faster USB-C connection, but for charging, I doubt it will beat Lightning for convenience. The phone will probably be incrementally thicker and heavier, as usual, and I hope I’ll still be able to look at my ringer switch and know the status of the ringer. Apple could certainly still surprise us, for sure, but I wouldn’t say that there are a lot of exciting rumors out there yet. Nothing that compares to the introduction of water resistance, or retina displays, or Touch ID, or Face ID, or telephoto cameras, 3G, 4G or 5G, etc. Not that I blame them—the iPhone is already extremely good in so many ways that it’s getting very hard to improve.

jdw 18 Years · 1457 comments

I disagree with Ming-Chi Kuo and Retrogusto for the specific reason of knowing there are a lot of people out there like myself.

I still use an iPhone 7.  That's why the iPhone 15 is extremely appealing to me, regardless of the price increase.  Price increases hurt, but I am frugal and offset that by NOT upgrading every year, or even every 3 years.  I got my iPhone 7 in 2017, for example.  That was 6 years ago.  

USB-C marks a huge change for the iPhone and will therefore become the new standard for connectivity (despite the ability to charge wirelessly), which is why I never considered the 14, and is why I didn't purchase thermal cameras or other Lightening peripherals because I knew that port change was coming.  

The periscope lens on the top end models appeals to me, because I want the best camera tech Apple has to offer.  And being able to shoot amazing photos in low light is also something I'm looking forward too, as my iPhone 7 is lacking in that area.  Close up photography as well!

Thinner bezels are not a huge reason I am liking the 15, but such improvements are always welcome.  I will miss the home button because I absolutely HATE gestures (I can't remember them), but the other feature improvements over my existing iPhone 7 should make that loss a bit less painful.  I hate notches and dynamic islands, but again, the other feature benefits, like MORE RAM (my God, how important that is!) will be a rich blessing.  I HATE going to Flipboard and opening an article, reading it half through, and then I need to focus on something else for an hour, come back, and stupid Flipboard has reloaded and no longer retains the place where I was reading in the article!!!!  More RAM can solve those horrible app reloads!

Longer battery life, not to mention having a brand new battery, will be great. (I paid Apple to change the battery in my iPhone 7 once.)  And even though I use cases and protective glass, knowing that modern iPhones are built to be even more robust than my iPhone 7 is very reassuring.

Then of course, being able to run the latest iOS (which my iPhone 7 cannot do, due to age), will be nice because it will be more secure (in theory).

I don't really like to be forced to use an eSIM.  I would prefer the option to also use a physical SIM, but the other improvements in the phone take the pain out of that.

So what I think will drive iPhone 15 sales are people like me who don't deliberately drill holes in their wallets by upgrade every year or every other year.  Not having upgraded in 6 years, the changes between iPhones are huge and make the upgrade very much worthwhile.  But of course, that also means people like us will not be upgrading again for at least 5-6 years after the iPhone 15 purchase, and perhaps longer if the price is really high and if the faster processor, great camera and more RAM and still adequate for us in in 2029.

The only thing that could impact sales is the economic situation.  Inflation is crazy.  People in CA can't afford rent.  So even if you haven't upgraded in 6 years like me, if you can't afford the basics in life, you would be a fool to spend all your cash on a new phone.  Then again, there are a lot of fools out there, so who knows how it will go.

M68000 7 Years · 887 comments

jdw said:
I disagree with Ming-Chi Kuo and Retrogusto for the specific reason of knowing there are a lot of people out there like myself.

I still use an iPhone 7.  That's why the iPhone 15 is extremely appealing to me, regardless of the price increase.  Price increases hurt, but I am frugal and offset that by NOT upgrading every year, or even every 3 years.  I got my iPhone 7 in 2017, for example.  That was 6 years ago.  

USB-C marks a huge change for the iPhone and will therefore become the new standard for connectivity (despite the ability to charge wirelessly), which is why I never considered the 14, and is why I didn't purchase thermal cameras or other Lightening peripherals because I knew that port change was coming.  

The periscope lens on the top end models appeals to me, because I want the best camera tech Apple has to offer.  And being able to shoot amazing photos in low light is also something I'm looking forward too, as my iPhone 7 is lacking in that area.  Close up photography as well!

Thinner bezels are not a huge reason I am liking the 15, but such improvements are always welcome.  I will miss the home button because I absolutely HATE gestures (I can't remember them), but the other feature improvements over my existing iPhone 7 should make that loss a bit less painful.  I hate notches and dynamic islands, but again, the other feature benefits, like MORE RAM (my God, how important that is!) will be a rich blessing.  I HATE going to Flipboard and opening an article, reading it half through, and then I need to focus on something else for an hour, come back, and stupid Flipboard has reloaded and no longer retains the place where I was reading in the article!!!!  More RAM can solve those horrible app reloads!

Longer battery life, not to mention having a brand new battery, will be great. (I paid Apple to change the battery in my iPhone 7 once.)  And even though I use cases and protective glass, knowing that modern iPhones are built to be even more robust than my iPhone 7 is very reassuring.

Then of course, being able to run the latest iOS (which my iPhone 7 cannot do, due to age), will be nice because it will be more secure (in theory).

I don't really like to be forced to use an eSIM.  I would prefer the option to also use a physical SIM, but the other improvements in the phone take the pain out of that.

So what I think will drive iPhone 15 sales are people like me who don't deliberately drill holes in their wallets by upgrade every year or every other year.  Not having upgraded in 6 years, the changes between iPhones are huge and make the upgrade very much worthwhile.  But of course, that also means people like us will not be upgrading again for at least 5-6 years after the iPhone 15 purchase, and perhaps longer if the price is really high and if the faster processor, great camera and more RAM and still adequate for us in in 2029.

The only thing that could impact sales is the economic situation.  Inflation is crazy.  People in CA can't afford rent.  So even if you haven't upgraded in 6 years like me, if you can't afford the basics in life, you would be a fool to spend all your cash on a new phone.  Then again, there are a lot of fools out there, so who knows how it will go.

Once you have the new phone for a week,  you won’t miss the home button at all.  Just learn the new gestures. But you might miss touch ID,  time will tell if we get future iphone with underscreen touch ID.

johnnybtrue 6 Years · 26 comments

I cannot wait for the new IPhone 15 pro max.   I am really excited by the new customizable action button.  I am glad that they are getting rid of the mute switch on the side.  I am constantly turning off ringer by mistake with my case.  I am also looking forward to even thinner bezels  and the telescopic camera enhancements.  I will upgrade as soon as possible And love it !!  Having the latest and best Apple devices available  matters to me.  !!   Thanks! 

avon b7 20 Years · 8051 comments

Qualcomm has just announced a weaker than expected forecast and partly put it down to macroeconomic headwinds.

It should surprise no one that given inflationary pressures and a cost of living crisis in developed markets, things like phones will be harder to sell.