Apple Inc is reducing the production of iPhone 14 Plus and gaining on the output of the more expensive iPhone 14 Pro considering the lukewarm demand for the mid-range model, as per the market research firm, TrendForce.
iPhone 14 Pro Series In Production
On Tuesday, a TrendForce said that the share of the more expensive iPhone 14 Pro series has increased to 60% of the total output from the initially planned 50%, further could rise to 65% in the future.
So far, Apple has not released any comment on this subject.
It appears that the iPhone maker’s focus on high-end models may help it counter the softness in smartphone sales.
Chip Crisis Affecting Sale
During the time of the chip crisis, Apple’s Pro and Pro Max premium tier of devices, which have been strong sellers, helped the company push margins higher.
The rising U.S. interest rates could crimp consumer spending, undermining the demand for iPhones in the first quarter of 2023, according to the TrendForce report.
Further leading to a 14% year-on-year drop in production to 52 million units.
In the past, Analysts said the iPhone 14’s Pro and Pro Max versions were selling at a brisk pace.
Though, the demands for the base model, typically Apple’s best seller, has been underwhelming.
Growth In Shipment
During the third quarter, Apple was the only vendor in the top five to register a growth in shipments.
This way, improving its share of the global smartphone market to 18% from 15% a year ago, according to research firm Canalys.
Further, Canalys noted that the increase in share came as the overall smartphone market shrank by 9%.
Apple said that it would manufacture its latest iPhone 14 in India last month.
This is inline with the goal of the tech giant in moving some of its production away from China to hedge risks arising from the growing tensions between Washington and Beijing.
In the meantime, TrendForce estimates the share of Apple’s output from India to exceed 5% in 2023 and increase over the years.
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