Apple Sold Over 40 Million iPhone 13 Models During the Holiday Season, Says Wedbush Analyst

[MacRumors]

Apple sold north of 40 million iPhone 13 models over the holiday period in a record number for the company, despite industry-wide chip shortages, according to Wedbush analyst Daniel Ives.

Last year, reports began emerging that demand for iPhone 13 models was slowing ahead of the holidays as delivery estimates for ‌iPhone 13‌ models started to improve.

However in a new note to investors, seen by MacRumors, Ives said demand remained strong for the current iPhone cycle going into 2022, with demand outstripping supply be several million units in the December quarter, a positive sign for Apple as supply chain issues begin to resolve themselves in the first half of this year.

Based on our supply chain checks over the last few weeks, we believe demand is outstripping supply for Apple by roughly 12 million units in the December quarter which now will add to the tailwinds for Cupertino in the March and June quarters as the supply chain issues ease in 1H22.

According to Ives, China has been a major source of strength for Apple over the last 12 months and a key region for iPhone sales, particularly in relation to increased market share due to the "multi-year supercycle" afforded by the iPhone 12 and iPhone 13.

According to Ives, roughly 230 million of 975 million iPhone users worldwide haven't upgraded in the last three and a half years, and the analyst believes Apple's continuing smartphone sales will provide highly influential tailwinds as excitement builds for Apple's much-anticipated mixed reality headset, which is expected to be announced in the summer.

Ives says the "linchpin" to Apple's valuation re-rating remains its services business, taking in the likes of Apple Music, iCloud, Apple TV+, and Apple Fitness+, which Wedbush believes is now worth $1.5 trillion. On that basis, Wedbush predicts that despite reports of supply constraints, Apple's chip shortages are a "transitory issue" and "nothing more than a speed bump" on the way to Apple becoming the first $3 trillion market cap company in 2022.

Article Link: Apple Sold Over 40 Million iPhone 13 Models During the Holiday Season, Says Wedbush Analyst

 

[Tripps9000]

The iPhone 13 line are some good phone’s I my self decided to same some money and went with a iPhone 12 mini which in my opinion is still an awesome phone definitely a better upgrade to the iPhone SE 2!

 

[FloridaScrubJay]

Santa Apple has some very busy elf’s this season.

 

[yellow8]

They keep beating records! Impressive...

 

[Bonte]

The new model typically represents 55% of sales so this would represent a small decline or stagnation. Not bad in a year with never seen before supply issues.

 

[Glideslope]

The Assimilation Continues.

 

[djcerla]

Warren Buffett was right: the iPhone is just a “product that people can’t get enough of”.

Us geeks sometimes don’t have this simple clarity, we get upset and disappointed over things like minor software bugs.

 

[nathan_reilly]

The new model typically represents 55% of sales so this would represent a small decline or stagnation. Not bad in a year with never seen before supply issues.

how is this a decline or a stagnation when it is also a record for most?

 

[DelayedGratificationGene]

It seems the trend is beginning where people are buying Apples best the pro max…anecdotal evidence is that 8 out of 10 buyers got the max….”hey your whole life is on your iPhone so it’s the latest and greatest of course”

 

[Apple_Robert]

I am interested in how many of the 40 million people will actually keep after the return period.

 

[Glideslope]

It seems the trend is beginning where people are buying Apples best the pro max…anecdotal evidence is that 8 out of 10 buyers got the max….”hey your whole life is on your iPhone so it’s the latest and greatest of course”

It’s not a Trend. It is a Strategy Apple has been driving customers with for several years now.

There is no company better at Marketing than Apple at this point in history.

 

[tridley68]

That's a lot of phones.

 

[Abazigal]

The Assimilation Continues.

The logic is fairly straightforward. It's all about the ecosystem now, and services help to add value to Apple hardware and set them apart from android smartphones. So it's no longer enough for the competition to make a phone that beats the iPhone in one area or the other, they have to beat the whole Apple ecosystem. It's a tall order even for Android, and it's going to be flat out impossible for any new entrant.

 

[Abstract]

Did Mini sales improve??

 

[I7guy]

That's a lot of phones.

And with everything the way it is. People, I guess are buying. But as @Apple_Robert said, the returns will be interesting.

 

[DelayedGratificationGene]

It’s not a Trend. It is a Strategy Apple has been driving customers with for several years now.

There is no company better at Marketing than Apple at this point in history.

Yes I’m sure Apples Marketing dept is going to take all the credit however and that’s a big however Apples vastly superior products absolutely sell themselves. Marketing depts are extremely overrated. Basically verified reviews, social media and trusted friends family are what consumers use to purchase a product.

 

[bommai]

And with everything the way it is. People, I guess are buying. But as @Apple_Robert said, the returns will be interesting.

Why would it be any different compared to any other year? Returns are probably less for iPhones because many people trade in and once traded in, it is harder to do the returns.

 

[ilikewhey]

I am interested in how many of the 40 million people will actually keep after the return period.

i'm interested in how many of the 40 million who took advantage of the 800 trade in for iphone 6 and newer. ?

 

[JosephAW]

Still happily on my 11 Pro Max.

 

[zeezun]

? gonna ?

 

[Cosmosent]

 

[lkrupp]

how is this a decline or a stagnation when it is also a record for most?

Because the negative narrative must endure. Apple is failing.

 

[AppleTO]

I'm still on my Xs. No complaints. I still prefer the size to any of the newer ones.

 

[Shanghaichica]

The logic is fairly straightforward. It's all about the ecosystem now, and services help to add value to Apple hardware and set them apart from android smartphones. So it's no longer enough for the competition to make a phone that beats the iPhone in one area or the other, they have to beat the whole Apple ecosystem. It's a tall order even for Android, and it's going to be flat out impossible for any new entrant.

Totally agree. X phone being better than the iPhone is irrelevant at this point. If you’re in the Apple ecosystem you aren’t going to leave just because another phone has a feature the iPhone doesn’t have. You aren’t going to give up a first class, world leading ecosystem for a random feature.

 

[TheYayAreaLiving 🎗️]

That’s pretty impressive. Breaking records over here. iPhone is the money-making machine for Apple. It sure has been for the last 15+ years. It’s not going to stop.