iPhone SE demand not high enough to offset declining iPhone 6s sales, say supply chain sources

Supply-chain sources cited by the variably-reliable Digitimes claim that Apple’s Q2 chip orders are down on previous years, and that demand for the iPhone SE is not high enough to offset declining demand for the iPhone 6s/Plus.

Shipments for the new iPhone SE will be unable to offset the fall in shipments for the iPhone 6s and 6s Plus devices in the second quarter, the sources continued. The shipment target for the SE in the second quarter is four to five million units, the sources said.

Apple did caution that the current quarter’s iPhone sales would see their first year-on-year fall in 13 years, the company predicting a drop in revenue of around 11%. This latest report suggests that the slump may continue into the following quarter …

It’s worth noting that Apple has cautioned on several occasions that supply chain sources are an extremely unreliable way to predict demand for its products due to its diverse component suppliers.

We’ll find out how well Apple did this quarter on 25th April, but we’ll have a while to wait before discovering whether this latest rumor has any basis in fact. It was reported a few days ago that third-party retailers in China have received 3.4M preorders for the iPhone SE, with less interest elsewhere. The new model does, though, seem to be helping Apple attract converts from Android.

Photo: Engadget

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