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DIGITIMES: IPHONE 12 SHIPMENTS ARE EXPECTED TO REACH 80 MILLION UNITS BY THE END OF 2020

Oct222020
Business iPhone 12 shipments are expected to reach 80 million units by the end of 2020

DigiTimes reported that according to market observers, iPhone 12 shipments might reach 80 million units by the end of this year due to Apple’s more affordable pricing strategy. Flexible pricing, coupled with some technological updates, including a faster A14 processor, improved product design, and camera features. All are expected to bring a new round of sales growth for Apple.

They stated that new iPhone product lines, including iPhone 12, iPhone 12 mini, iPhone 12 Pro, and iPhone 12 Pro Max, will exceed 70 million units by the end of 2020. Unless international trade frictions further escalate, otherwise, it may reach 80 million units.

The starting prices of the iPhone 12 Pro and iPhone 12 Pro Max are US$999 and US$1,099, respectively, which are the same as the prices of the iPhone 11 Pro and iPhone 11 Pro Max when they were launched last year. However, the 256GB and 512GB capacity models of the iPhone 12 Pro models are $50 cheaper than the previous model. The starting price of the iPhone 12 is US$799, while the starting price of the iPhone 12 mini is more affordable at US$699.

According to DigiTimes, Apple decided to adopt a two-phase shipping strategy-iPhone 12 and 12 Pro will be available later this month, while iPhone 12 Pro Max and iPhone 12 mini will arrive in November. It is not expected to have a significant impact on demand and may extend Apple’s order to pull from the upstream supply chain to the first quarter of 2021.

TSMC, which produces the 5-nanometer A14 Bionic processor for iPhone in 2020, is expected to benefit the most from strong sales. TSMC also manufactures the A14 chip for iPad. With the current iPad penetration rate increasing sharply, the foundry is expected to launch more than 150,000 5nm wafers in the fourth quarter of 2020, and Apple accounts for about 90% of related orders.

Foxconn is still Apple’s main iPhone assembler. According to reports, Foxconn has already won most of the new iPhone 12 series orders in the first quarter of 2021. According to DigiTimes, Foxconn is also the sole supplier of the 6.7-inch iPhone 12 Pro Max and is estimated to process more than 70% of orders for the 6.1-inch iPhone 12 and iPhone 12 Pro.

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