Cupertino, CA – Apple is reportedly scaling back production plans for its latest flagship smartphones, the iPhone 18 Pro and iPhone 18 Pro Max. According to a Nikkei Asia report, cited by Reuters, the tech giant has cut its October component orders by at least 15% from initial requirements, indicating a more cautious outlook on shipments.
Slowing Demand Impacts New iPhone Models
The adjustment in orders comes just a month after Apple launched the iPhone 18 Pro and iPhone 18 Pro Max, alongside its new foldable device, Duo. Analysts suggest that softening device demand observed between late August and October, potentially influenced by Apple's revised launch schedule, could be a key factor in this decision.
Adding to buyer considerations, Apple also increased the starting prices for its latest Pro models. The iPhone 18 Pro begins at $1,199, while the iPhone 18 Pro Max starts at $1,299. Both represent a $100 price increase compared to their iPhone 17 Pro predecessors.
Rising Memory Costs Add Industry Pressure
Beyond demand fluctuations, the broader smartphone industry is grappling with increasing memory chip costs. The surge in demand for components vital for AI data centers has tightened supply and driven up prices, impacting electronics manufacturers globally.
Apple has previously acknowledged these pressures, having raised prices for its iPads and MacBooks in June, citing the inability to fully absorb higher memory and storage chip costs. As AI capabilities become more integrated into consumer devices, the growing memory requirements are expected to continue challenging manufacturers to manage production costs while maintaining competitive pricing.