Apple has cut iPhone 16 orders by 10 million units: Report

by · Android Headlines

Apple is gearing up to release its quarterly earnings report next Thursday, as hinted earlier by Mark Gurman. We also expect the company to provide a forecast for the holiday quarter on the same day. While we await the official report, popular Apple analyst Ming-Chi Kuo sheds light on what to expect. Kuo reports that iPhone 16 orders have been cut by 10 million units between the fourth quarter of 2024 and the first half of 2025.

iPhone 16 orders cut by 10 million units, Pro models look strong

In a recent blog post, Kuo adds that the iPhone 16 production estimate for the fourth quarter now stands at 80 million. Remember, this number is lower than 4 million from the previous forecast of 88 million for the fourth quarter.

Besides, iPhone 16’s production forecast for the first quarter of 2025 now stands at 45 million. That’s a cut of 3 million units from the initial projection of 48 million. In addition, the second-quarter 2025 production projection now stands at 39 million.

To remind you, that projection is related to the non-Pro models. While that sounds concerning, the strong demand for the premium iPhone 16 Pro models is a positive sign for Apple. Why? Well, the Pro models might draw more revenue that could offset the cut in the demand for non-Pro models.

The release of Apple Intelligence might improve things for Apple

One can assume that the lower demand for the entry-level iPhone 16 and 16 Plus is mostly due to a lack of compelling upgrades. While that could be the case, it is indeed a headache for Apple as it heads into the busiest times of the year.

All that said, Kuo believes that the release of Apple Intelligence might still improve things down the line. He notes “I believe that Apple is best positioned to succeed in on-device AI, and I am confident about the long-term potential for Apple Intelligence to become a popular paid service. However, significant growth in iPhone shipments will likely require further hardware innovation to accompany this AI development.”