Apple analyst Ming-Chi Kuo of TF International Securities has provided insight on Apple’s lineup of new products in a research note obtained by MacRumors. The note discusses the reception of the iPhone XS, iPhone XS Max, and Apple Watch Series 4.
Kuo’s report says that demand for the iPhone XS Max is higher than expected, and is about three to four times higher than demand for the iPhone XS. Gold and space grey are far more popular than silver when it comes to color options, and the 256GB version is the most popular. The note also says that the 512GB version could face a shortage because of reliance on Samsung as a supplier:
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 says that demand for the Apple Watch Series 4 is higher than expected, and has increased the forecast number for expected units Apple will sell:
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.
Finally, per MacRumors, Kuo also says that more customers will choose to upgrade to the iPhone XR and he’s confident that the choke points Apple is facing with display-related production will “markedly improve” by October.