Marco Julian Serrano Apple’s iPhone is showing decreasing demand, pushing Tim Cook and his team to look for novel ways to bring in customers. According to CIRP analysts, the driving interest for the iPhone 15 is less than what it was for the 14 in the same quarter. This model reflects a similar drop observed in Q1 2024.
Supply Chain Analysis
Famed analyst MingChi Kuo states that two critical component manufacturers in Apple’s supply chain are noticing lack of growth because of increased orders. Both TSMC and Largan have shared forecasts for the next year which match last year’s estimations.
- Kuo has said some suppliers have noticed a slight increase in orders for iPhone 16 during H2 of 2024, but these figures are minutely less than those from the previous year.
This feeling illustrates a wider sentiment seen within the industry where sales remain stable while no untapped market potential was revealed after introducing generative AI features.
Ambition for AI at Apple
Apple believes one significant factor that can boost their iPhone sales, independently generating AI. When announcement about Apple’s AI intentions came out at this past June’s Worldwide Developer Conference, there was an immediate seven percent increase in company shares. But with high demands being placed on hardware by generative AI, only owners of an iPhone 15 Pro Max will be able to use this feature via “Apple Intelligence”.
- If consumers wish to make use of these AI routine support chips known as A18 Pro chips, they will need to purchase advanced versions of iPhone hardware.
The sad but unavoidable truth regarding these new features is that they will not become available until Q1 2025 while, on the other hand, Android has been offering related AI features since Google introduced their first smartphone called the Pixel 8 back in October 2024.
AI Timelines and How Apple Compares to the Industry
If we consider that Apple decided to delay its AI release, it could be a significant risk. With the Pixel 9 being expected to launch in August by Google, there are concerns that features for Apple’s iPhone could still be two generations behind what Android’s AI trials have developed even before these new features can be launched.
- The wait for Apple to progress might make consumers shift towards Android. will they eagerly attend this ongoing AI revolution?
This delayed integration of AI may push people away or convince them to continue patiently as users of iPhones. If not properly handled, this could create a huge problem for Apple when competing in the smartphone marketplace.
Speculation and Rumours
A lot of speculation surrounds the iPhone 16 which is thought to launch this fall. The recent launching of the iOS18 public beta version gave an indication on what features the new iPhone model might contain.
Display and Design
Rumours suggest that the iPhone 16 is going to feature better zoom lenses along with larger screens and user friendly displays that save energy consumption. There are also rumours about a slimmed down bezel plus a brand new action button which combined is set to give an improved end user experience overall.
Features Powered by AI
“Apple Intelligence” will introduce several unique abilities such as,
- Proofreading and text summarising tools for writing tasks
- An “image playground” for generating images
- “Genmoji” which assists with custom emoji creation
However, at first these features may only be accessible via U.S. English and consequently may not immediately result in a significant sales increase for iPhone 16.
Improvements to the Camera
They anticipate the Pro Max and Pro iPhone 16 could include a lens providing a x5 telephoto zoom which would prove revolutionary for enthusiasts of mobile photography. It appears availability will be extended to both models, contrary to before where zoom capabilities worked exclusively with the Pro Max model.
New Processor
The next wave of Apple’s chipsets, known as A18, are expected to feature on all four models of iPhone 16. Including standard A18 chips for base models whereas pro models would be equipped with the Bionic Pro version of A18 chipset. These would be made possible by TSMC’s process involving 3 nanometers.
Variety in Color
MingChi Kuo from Apple who conducts well known analysis predicts that there will be new colour alternatives offered for iPhone 16 range. This suggests that the option of “rose” will replace “blue” specifically for the Pro Max and Pro versions of iPhone 16 while yellow is phased out and replaced by white in Plus and standard versions of the device.
Last Thoughts
The much touted iPhone 16 is set to come with several improvements but this doesn’t hide Apple’s struggle when it sledges through today’s smartphone market. The successful outcome of the iPhone depends heavily on whether AIimpatient consumers choose Android or decide to remain patient as they wait for delayed AI service from apple.
As we get closer and closer towards September’s scheduled launch date,the feeling is increasingly anticipatory. Will Apple turn its gamble into success or will this be a rare botch job by this giant in Tech. We just need to wait and see.
