Apple analyst Ming-Chi Kuo says iPhone XS Max demand is well above expectations, outselling the iPhone XS by three to four times. The 256GB model is proving to be the most popular, while the 512GB model is facing serious shortages.
We have determined that the demand for XS Max is better than expected (3–4 times that of XS). The gold and space-grey colors are significantly more popular than the silver. 256GB is the most popular, and 512GB is subject to a serious shortage because only Samsung can currently ship NAND Flash well. We are positive that XS Max shipments will grow steadily in 4Q18 thanks to demand from Asia market and the gift season.
Kuo also believes Apple Watch Series 4 demand is “much better than expected,” with tight supplies continuing until a second production partner comes online in November. Compal is said to be readying a production line and will join current supplier Quanta.
Apple Watch Series 4 demand is much better than expected. The capacity of the assembler Quanta is full already; therefore, the supply cannot improve significantly until second supplier Compal’s mass production for Apple Watch Series 4 starting from November. We have increased the Apple Watch shipment forecast in 2018 from 18mn to 18.5–19.5mn units.
Kuo also sees the iPhone XR becoming a big seller, with more customers upgrading to the new device than upgraded to the iPhone 8 lineup last year.
