KGI Securities analyst Ming-Chi Kuo said that iPhone X shipping time is faster due to increased production, not weak demand.
Kuo called the iPhone faster production allowing Apple to triple the number of units launched from assembly each day.
Two months ago, Apple produced 50,000 to 150,000 units of iPhone X every day. The latest figures, according to Kuo, Apple now can produce 450,000 – 550,000 units of iPhone X every day.
According to Kuo, who frequently shares accurate information from Apple’s supply chain, iPhone X production issues “have been well addressed” in recent weeks, with Foxconn production now at 450,000-550,000 units per day compared to just 50,000-150,000 a month or two ago as Apple geared up to launch the device.
Two of the primary bottlenecks that contributed to tight supplies of the iPhone X has mostly resolved. According to Kuo, with Career quickly making up for lost time after Murata was unable to provide LTE antenna components as planned initially and LG Innotek and Sharp seeing improved yields for the dot projector module of the TrueDepth camera.
Kuo said that Apple had solved two significant problems that make production stalled. LG, Innotek, and Sharp have increased the output of TrueDepth Camera modules. This is a component for FaceID. The yield of this element increased from 60 percent in the past 1 to 2 months to 80 to 90 percent today.
Also, LTE antenna shipments are also expected to grow 100 percent month-on-month in November and December. It’s hard to believe that Apple has experienced a supply shortage for the iPhone X where its output is so low at 10 percent. With an increase in iPhone X production, Kuo said device shipments for the fourth quarter could be 10 percent higher than expected.
Kuo said that orders initially forecast to be delivered in the first quarter of 2018 can now be given before the end of this quarter.
Meanwhile, financial services company Morgan Stanley sees Apple will break iPhone sales in 2018, estimated at 262 million units. For information, the current record is 231.2 million units of Apple iPhone sold in 2015 thanks to the launch of iPhone models with a larger screen, iPhone 6 and iPhone 6 Plus, so Phone Arena.