Thought Leadership
CEO John Ternus offers no timeline for when supply constraints will ease. Some devices have been returned due to display damage along the hinge.
Apple cannot keep up with demand for its first foldable smartphone, the iPhone Duo, and has no indication of when that will change. CEO John Ternus told Reuters following the release of the company’s fourth-quarter results. It was the first earnings call with Ternus as CEO.
“Duo is constrained as of today. The ramp is going well, and we’re working hard to get it to as many customers as quickly as possible, but at this point, we’re not able to predict when supply and demand will be in balance.”
John Ternus, Apple CEO
Orders Now Shipping in January
According to MacRumors, customers ordering the iPhone Duo now are being quoted delivery dates in January. Availability for online reservations at Apple Stores is also extremely limited. The device sold out within minutes of preorders opening on October 16. It officially went on sale on October 23. Apple has limited purchases to two devices per customer. In the United States, the iPhone Duo starts at USD 1,999.
Cracks Reported in Inner Display
Addressing display issues, Ternus said that a very small percentage of devices had been returned and that Apple was offering replacements. Since the launch, users have reported cracks in the inner display along the hinge, in some cases after only a few folding cycles. Apple acknowledged in late October that it was aware of the issue and directed affected customers to AppleCare. The company has also provided Apple Stores and authorized service providers with guidance on how to identify the defect and repair or replace affected devices.
Record Revenue for September Quarter
Apple reported revenue of USD 114.5 billion for the July-to-September quarter, up 12 percent year over year and a record for a September quarter. Net income reached USD 30.7 billion. The iPhone Duo is not included in these figures, as it went on sale after the quarter had ended. According to MacRumors, Apple declined to comment on whether rising memory costs could lead to further price increases. On November 6, Apple is set to launch several new products, including its first MacBook Pro with a touchscreen and OLED display, as well as a new iPad mini.
(Editorial Team)
