What you need to know
- Apple has reportedly increased chip orders from Taiwanese manufacturer TSMC.
- The move has been made to satisfy increased iPhone demand.
- In particular, the LCD-based iPhone 11 is driving up orders.
Apple has reportedly increased its chip orders from Taiwanese manufacturer TSMC in the face of "higher-than-anticipated" iPhone demand.
According to a report from Bloomberg:
Apple Inc. has asked chipmaking partner Taiwan Semiconductor Manufacturing Co. to increase its output of A-series processors this quarter in order to satisfy higher-than-anticipated iPhone demand, people familiar with the company's plans said.
The iPhone 11 and 11 Pro models were well received on their debut in the fall and their sales in China have been particularly strong, outselling 2018's releases in a market that has otherwise been shrinking. Even without fifth-generation wireless networking, iPhone demand has been outperforming the market and Apple's expectations, and the company asked assembly partners to increase their production of the latest generation.
According to the report, demand is particularly strong for the iPhone 11.
Demand for the iPhone 11 appears to be holding strong and perhaps even increasing. Recently, it was reported that iPhone shipments in China had increased by almost 19%, in part thanks to the iPhone 11, which sold a reported 3.18 million units in the country in December.
The report comes fresh off the back of news that Apple's rumored Spring iPhone, the SE2/iPhone 9 is reportedly going into mass production next month. The phone will reportedly debut at $399 and could be announced by Apple as soon as March, echoing previous reports that the device would launch in Q1 of 2020.
Whilst this latest report shows that demand for Apple's cheaper iPhone 11 with an LCD display is very strong, most of the rumors surrounding the iPhone SE 2 (or whatever it might be called) suggest it is targeted at budget-savvy users as an entry-level device.
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