Report suggests Apple to ship fewer iPhone 16 units compared to iPhone 15

Apple has not increased iPhone 16 orders despite contrary reports, according to Apple analyst Ming-Chi Kuo. Kuo references recent earnings reports from key Apple suppliers TSMC and Largan to support his findings.

TSMC has indicated no significant unit growth, while Largan reported that orders for high-end models in 2024 are similar to those from the previous year. Kuo estimates that Apple’s iPhone 16 orders for the second half of 2024 will be around 87 million units, which is lower than the 91 million iPhone 15 units ordered in 2023.

As reported by MacRumors, Kuo notes that some suppliers might have been asked to ramp up production due to specific industry or component needs, but this does not reflect a general increase in iPhone 16 orders. He suggests that the high expectations for Apple Intelligence driving iPhone 16 sales might be overly optimistic, given that the feature will initially be available only in U.S. English.

Earlier reports had suggested that Apple was relying on iOS 18 AI features to boost iPhone shipments by 10 percent in 2024. Apple Intelligence, which requires an iPhone 15 Pro or later, includes new capabilities such as Writing Tools, Image Playground, and Genmoji, as well as enhancements to Siri expected in 2025. However, the limited availability of Apple Intelligence in Beta for U.S. users in the second half of 2024 raises doubts about its potential impact on iPhone 16 sales.

Additionally, Apple has yet to establish AI deals for Chinese consumers, and Apple Intelligence will not be available in the European Union when iOS 18 launches. This further complicates the outlook for significant sales growth driven by the new AI features.