iPhone X is going to cannibalize iPhone 8 preorders

At the company’s media event of the year on September 12, Apple, Inc. unveiled both iPhone X and iPhone 8 models, with the highly-anticipated iPhone X starting at $999. As likely predicated, the most expensive Apple phone ever made has eclipsed the demand for the iPhone 8. A large number of prospective iPhone buyers are waiting until the iPhone X goes up on sale in late October rather than purchasing the more readily available iPhone 8, which launched this Friday.

Apple watcher and industry analyst firm KGI Securities noted in a report today that the existence of the iPhone X has led to a tepid demand for the iPhone 8. Noted KGI analyst Ming-Chi Kuo says that the customer demand for the iPhone X won’t be fully met until at least the first half of 2018 due to supply constraints. Moreover, the iPhone X preorders won’t begin for another six weeks because Apple doesn’t want to lose iPhone 8 sales and iPhone 8 Plus sales.

Kuo also shared his thoughts on the new Apple Watch Series 3 (GPS + Cellular version) which is also sold out. At the moment, Apple is offering a 3-4 month wait time for new Apple Watch preorders.

Apple iPhone X Demand Higher Than Expected

Apple iPhone 8 and iPhone 8 Plus preorders began on September 15, 2017. The devices launch on September 22, 2017. The iPhone X will be available for preorder on October 27, 2017, and will launch on November 3, 2017.

Earlier this week, Apple’s iPhone X production was capped below 10,000 units per day. Reports suggest Apple may ramp up production to keep up with the increasing demand. Although, iPhone X will remain in severe short supply for a while. Apple might only be able to build as many as 40 million iPhone X before the end of this year. Basically, all handsets built in 2018 will simply translate into sales for the upcoming year. Bottlenecks include the new OLED edge-to-edge display, as well as the front facing camera that enables Face ID.

Gene Munster of Loop Ventures wrote in a note obtained by 9to5Mac that iPhone 8 and iPhone 8 Plus will account for 25-30 percent of iPhone units in 2018, while iPhone X will account for 20 percent of units.

So, what makes the Apple iPhone X a sweet treat for Apple aficionados? To start with, it will be able to provide a level of security that is both, consistent and acceptable. Secondly, it has pretty delightful features such as Face ID, Animojis, and Wireless Charging. In addition, the iPhone X has the biggest screen-to-body ratio on the market, which makes it one of the most appealing handsets out there. Let’s not forget the ARKit and new sensors on the iPhone X, which will bring augmented reality on the forefront of the ultimate user experience.