Apple Reportedly Increases Chip Orders for Lower-Cost iPhone SE

Citing industry sources, Digitimes reports that Apple has increased chip orders for the lower-cost iPhone SE and has plans to push out more than five million units in the second and third quarters of this year.

Iphone se

Apple unveiled the 4-inch model in March and the device went on sale at the end of the first quarter, so none of its sales were reflected in the latest, “disappointing” quarterly report. During the earnings call with financial analysts, Tim Cook said the company is “seeing terrific customer response” and strong demand that exceeded supply.

He also highlighted the two types of buyers who are likely to purchase the iPhone SE: the first one wants the latest technology in a “more compact package,” and the second is the more price sensitive customer.

According to Digitimes, Apple initially targeted 3.5-4 million units for the second quarter, but it looks like the demand is even higher than anticipated. We must note, though, that Digitimes has a mixed track record in predicting Apple’s product plans, so readers might want to take the report with a grain of salt.

The sources also say Apple has slowed down the orders for iPhone 6s due to falling sales of the model, forcing the company to shift the focus on the mid-range and entry-level segments.

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