A couple of months after it was reported Apple would step up manufacturing earlier than normal, it appears the company has been unable to finalise the next iPhone’s design in time. The completely revised device will usher in a new era of Apple handsets, featuring edge-to-edge glass and a fingerprint sensor built into the display.
Getting the new hardware ready for launch is reportedly proving problematical. A research note passed to MacRumors by respected Apple analyst Ming-Chi Kuo claims Apple won’t be ready to start mass production of the iPhone 8 until October or November. This has been corroborated by multiple other sources.
Apple usually ramps up manufacturing during August or September, ensuring it has enough devices available on day one to supply the majority of customers. Faced with a two month delay in large-scale production, Apple could now miss its September iPhone unveil for the first time in years. The launch will come closer to the holiday season, worsening the supply issues.
Kuo expects the delay itself won’t harm the iPhone’s sales. Most buyers will be happy to wait another couple of months to purchase the new phone. With the supply problems likely to persist right up until the holiday season, customers could end up waiting until early 2018 to actually receive their device though.
Even if the iPhone 8 is delayed, Apple is likely to still launch the iPhone 7s-series in early September, as originally planned. These models will be incremental upgrades over the iPhone 7 for customers who don’t want to pay the premium for the iPhone 8. The company could also unveil the next-generation device during the event but it would leave customers waiting months for their handset to ship.
The manufacturing complexities of the new phone go beyond the glass and metal design. It’s also the first iPhone to use a 10-nanometer processor, considerably improving performance and power efficiency. Apple is also upgrading the circuit board itself to be based on a new substrate, leading to substantial internal changes that the company evidently needs time to finalise.
Stock issues on new Apple products aren’t uncommon. Several of the firm’s most popular devices from the past few years suffered from similar supply constraints during their first few months of availability. Most recently, Apple’s wireless AirPods were in short supply until early this year after facing a delayed launch.
With many fans already preparing to make iPhone 8 purchases, Apple will need to get its supply chain moving quickly to keep its iPhone shipment figures high. Kuo noted the delay could reduce overall sales this year as people are left waiting longer to purchase their next handset. This will cap the total number of shipments in 2017 but could increase momentum for next year.
