Apple will likely be able to ship as many as 18 million units of iPhone X, a new report by KGI Securities suggests.
According to the report, Apple will be able to ship around 18 million iPhone X units in the current quarter, strikingly lower than the ongoing estimates of 20-30 million units. There are indications that the original iPhone X could reach its end of life around mid-2018 and this effective means that new iPhones could be in pipeline.
The report says that the major drop in iPhone X shipments is because of the longer replacement cycles in China. KGI points out that Chinese users are currently adhering to their existing phones for a long time, and specifically the notch on the top of the iPhone X’s Super Retina display has turned away some potential customers in the region. This is interesting as the notch enables facial recognition features, including Face ID, through the built-in TrueDepth Camera system.
KGI also said that only 13 million units of Apple iPhone X will ship in second quarter of 2018. As the iPhone X is presumed to reach the end of life in the middle of this year, the company would sell around 62 million units total, significantly lower than the previous KGI forecast of 80 million units throughout this year. The projected weak iPhone X sales are not likely to have a negative impact on the overall growth of iPhone models in the market.
KGI highlights that thanks to the growing sales of the iPhone 7 and iPhone 6s alongside the lower-tier phones in the iPhone family, including the cheapest, iPhone SE, Apple will see 0-5 percent growth in iPhone shipments for the first half of 2018 compared to a year ago.
The departure of the original iPhone X is likely to be filled well with the new versions that KGI’s Ming-Chi Kuo last year specified as 6.5-inch OLED and 6.1-inch LCD models. Both the new models are expected to have an iPhone X-lookalike design. However, the 6.1-inch LCD model is particularly expected to help Apple grow the shipments of iPhones by up to 10 percent in the entire 2018 calendar year. The LCD version is expected to come in the price range between $650 and $750 and feature a 6.1-inch display.