Citing the ever-popular “supply chain sources,” DigiTimes reported on Tuesday that Apple has increased component orders for the iPhone SE. Company CEO Tim Cook admitted on last week’s earnings call that Apple was caught by surprise by demand for the smaller iPhone.
A new supply chain rumor claims that Apple has increased orders for its new low-end iPhone SE, and plans to build more than 5 million units this quarter alone, as the company continues to struggle to keep up with demand for the 4-inch handset.
Supplies of the SE have been constrained since its launch, and orders are currently showing two to three weeks as shipping estimates direct from Apple. Apple had originally planned to build 3.5 million to 4 million iPhone SE units in the current quarter, but Tuesday’s report indicates it expects to push that number to over 5 million units. The report also indicates third-quarter production would show similar numbers.
Apple launched the 4-inch iPhone SE in March, offering customers many of the larger iPhone 6s features, such as an A9 chip, and 12-megapixel camera, inside a smaller 4-inch device. The SE is priced at $399 for the base 16GB model, while the 64GB device goes for $499.
While some would speculate that Apple may be making a move to focus on the entry-level and mid-range markets as high-end sales have decelerated, any slowdown in iPhone 6s/6s Plus production could be due to the impending September introduction of the next-generation iPhone.
As always, all reports from such semi-reliable sources as DigiTimes should be taken with a grain of low-sodium seasoning, and held with a wait-and-see attitude.