iPad Supply Constraints Begin to Ease, iPhone 4 Expected to Follow

[MacRumors]

Fortune noted yesterday that supply constraints for the iPad appear to be easing slightly, with shipping estimates for orders placed through Apple's U.S. online store now coming in at 3-5 business days, down from 7-10 business days. The change was noted in a research brief from analyst Jeff Fidacaro of Susquehanna Financial.

"iPad demand remains strong with production ramping above expectations," writes Fidacaro. He has revised his iPad build forecast for Apple's (AAPL) fourth fiscal quarter to 7 million units, up from 6 million units. And his 4Q iPad shipment estimate now stands at 4.75 million units, a 45% increase from Q3.

The Fortune report also shares results of a weekly survey of in-store iPad and iPod availability at Best Buy locations conducted by Barcalys' Ben Reitzes showing significant improvement this week for all iPad models.

Meanwhile, GigaOM reports on a research note from Rodman Renshaw analyst Ashok Kumar claiming that production of both the iPad and iPhone 4 is beginning to approach demand, with iPhone shortages expected to ease by the end of next month.

The wait for a new Apple iPhone 4 order should be shorter by the end of September, which would help Apple sell 14 million new handsets in the third quarter and another 15 million in the final three months of 2010 according to an industry analyst. With the expectation that LG is ramping up production of 9.7-inch display panels, iPad orders should flow faster as well, with Apple having the capability to sell 5 to 6 million tablets this quarter.

Shipping estimates for iPhone 4 orders placed through Apple's U.S. online store remain at three weeks, however, suggesting that a considerable backlog still remains.

Article Link: iPad Supply Constraints Begin to Ease, iPhone 4 Expected to Follow

 

[iKrl]

I hope more countries get the iphone 4 soon!

 

[jav6454]

So the initial surge finally subsided? Hmm... I wonder.

 

[GadgetAddict]

iPads have been in stock in NYC Apple stores for at least 3 weeks now.

 

[jav6454]

iPads have been in stock in NYC Apple stores for at least 3 weeks now.

NYC = big market. More reason to keep them stocked. However, it doesn't mean the rest of the stores have them in stock.

 

[stagi]

Still pretty big backlog of iPhone might take them a while to get through that

 

[FFArchitect]

Very impressive.

 

[alakazzam]

It's good to hear that Apple has started to close in on demand just in time for the holiday season. I'm sure iPad will see another boost in sales in the coming months.

 

[flottenheimer]

But what will happen when the iPhone + iPad becomes available worldwide...

 

[Yamcha]

My bro is still trying to get an iPhone 4, its crazy that its still hard to get..

 

[aughsum]

So the initial surge finally subsided? Hmm... I wonder.

Yeah, total fluke.

Psh.

 

[xyphr3]

I am still waiting to be able to walk in to an AT&T store to pick up an i4. I was going to swing by one today but after reading this, probably not

 

[paul4339]

So the initial surge finally subsided? Hmm... I wonder.

The way I read the article, is the supply caught up with the demand ... that is, the demand didn't really subside (die down) since the estimated Q4 is expected to even higher.


P.

 

[jav6454]

The way I read the article, is the supply caught up with the demand ... that is, the demand didn't really subside (die down) since the estimated Q4 is expected to even higher.


P.

Understandable, but we have to take into consideration new countries that are about to get the iPad. So, that initial surge ain't going anywhere anytime soon.

 

[spencers]

I really should learn how to program some apps. That's a lot of potential customers out there!

It's good to hear that Apple has started to close in on demand just in time for the holiday season. I'm sure iPad will see another boost in sales in the coming months.

It's still August.

 

[RalfTheDog]

People have finally figured out, Apple bites. The fact that Apple will be able to make enough stuff for people to buy proves they are about to go out of business. I can't believe all these stupid people who thought they liked Apple products. Glad the world is waking up. (It is sad that the landfills will soon be filing up with all the useless iPhones and stuff.)

/sarcasm

 

[Voytech]

I am still waiting to be able to walk in to an AT&T store to pick up an i4. I was going to swing by one today but after reading this, probably not

Everytime I checked, ATT store nearby never had any and always said 2-3 weeks MAYBE. Apple store on the other hand usually had a small amount in the morning, gone by afternoon, with the 32GB models sometimes still available in the evening (the only time I can stop by). BestBuy was similar to ATT.

 

[NinjaHERO]

It's amazing how many of those things Apple is selling.

 

[andy845]

Don't buy into this

Here in Aberdeen, Scotland you can walk into the Apple store and have your choice of iPhone and iPad models and it's not like they are not selling lots, they are constantly selling both devices, the store is always very busy so they are obviously able to source plenty stock without a problem.

I think apple manage the online sales, and stock perception issues very well.....

 

[ecks618]

I saw a couple of tourists walk into the Apple Store in SOHO yesterday and walk out with at least 10 iPads. Thats when I knew that there were no constraints on supply.

 

[smali]

Maybe they got their enlarging machine going and started throwing in those ipod touches that are plentiful in stock

 

[T'hain Esh Kelch]

Still waiting for the iPad here in Denmark... *Sigh*

 

[aaarrrgggh]

I am still waiting to be able to walk in to an AT&T store to pick up an i4. I was going to swing by one today but after reading this, probably not

There is an incentive to push inventory to retail rather than online sales, as you stand a higher chance of losing the sale if someone can't walk in and buy. It's always worth swinging by...

 

[JonboyDC]

If only the constraint on the supply of white iPhones would ease up. (The constraint, of course, being that there are none.)

 

[spillproof]

Good, no one will want the white iPhone becasue everyone will have the black one.

I really never thought the iPad would sell the way it did.