Analysts at JP Morgan reported in a note that initial demand for Apple Inc’s (NASDAQ:AAPL) newly launched iPhone 17 series appears stronger than what was seen for the iPhone 16 during its first week last year, based on delivery lead times in key markets.
JPMorgan highlighted that lead times in the U.S., China, Germany, and the U.K. were “modestly ahead” of the iPhone 16 series during the pre-order week, with particularly strong demand for the base iPhone 17 model and the newly introduced ultra-thin Air variant. The brokerage compared the Air model’s performance to last year’s iPhone 16 Plus.
The note emphasized that while early patterns show interest leaning toward base models rather than the Pro versions, this “did not necessarily indicate that Pro demand– which represents appetite for Apple’s more expensive models– would be weaker than last year.” JPMorgan added that if the trend continues, base iPhone demand could rise more than internal expectations.
Delivery lead times reflect the period customers must wait between placing an order and receiving their new iPhone, with longer waits signaling stronger demand. In the U.S., which accounts for about one-third of Apple’s shipments, lead times for the iPhone 17 base and Air models stood at four and seven days, respectively. Pro and Pro Max models showed lead times of four and 21 days.
By comparison, during pre-orders for the iPhone 16 and 16 Plus, wait times were zero days, while the 16 Pro and Pro Max experienced lead times of six and 20 days, respectively.
Apple unveiled its iPhone 17 lineup last week, with the ultra-thin Air model designed to compete with similar offerings from competitors like Samsung. However, the Air variant is reportedly facing delays in China due to regulatory restrictions related to its use of e-sim technology.
“Apple’s shares had reacted negatively to the reveal, with investors left wanting for more cues on the company’s artificial intelligence plans. But signs of improving demand could help improve the company’s sales outlook, especially as it grapples with slowing sales in key market China.”
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