Apple Cuts iPhone 18 Pro Production Amid Mixed Demand

Apple Inc. has instructed suppliers to reduce component production for the iPhone 18 Pro and Pro Max by 15% to 20% for October following weaker-than-expected market demand. Apple CEO John Ternus is managing a fragmented launch where premium models arrived in September, but production difficulties have delayed the base iPhone 18 and the new iPhone Air until early 2027.

Market reception for the premium lineup is split geographically. Demand for the Pro models has softened in the United States, Japan, South Korea, and the United Arab Emirates. In contrast, launch-week sales for the same models rose 12% in China and 19% in India.

Analysts from Bernstein, Jefferies, and Bank of America attribute the sluggish demand in some regions to price hikes driven by soaring memory chip and component costs. This supply tightness is largely fueled by the artificial intelligence industry. Micron Technology has indicated that these electronics supply constraints are likely to persist into 2027.