New iPhones See 'Stronger Than Expected' Demand With One Exception

[MacRumors]

Nearly two weeks after the iPhone 17 series launched, analysts at investment banking firm Morgan Stanley said demand for the devices has been "modestly stronger than we originally expected," based on a combination of extended shipping estimates on Apple's online store and information it gathered from Apple's supply chain.

There has been strong early demand for the iPhone 17, iPhone 17 Pro, and iPhone 17 Pro Max, according to the analysts. However, they said the ultra-thin iPhone Air has faced "relative weakness" in demand so far.

"Our supply chain checks suggest an iPhone 17 build increase is likely imminent," wrote Morgan Stanley analyst Erik Woodring, in a research note today. In the second half of 2025, Apple's supply chain might increase its production of the new iPhones to more than 90 million units, up from 84 million to 86 million units currently, the note said.

Morgan Stanley has raised its price target for Apple shares to $298. However, analysts believe the company's stock price already reflects strong demand for the iPhone 17 series, and they would need to see even more upside "to argue for more sustained near-term stock outperformance." Apple's shares are trading for around $256 at the time of writing.

The analysts are bullish about iPhone shipments in 2026 and 2027, as Apple is widely expected to release its first foldable iPhone model in September next year.

"iPhones are getting old and Apple's biggest innovation in years less than 12 months away," the analysts wrote, in reference to the long-rumored foldable iPhone.

Article Link: New iPhones See 'Stronger Than Expected' Demand With One Exception

 

[MacUserFella]

Not a surprise, the mini failed, the Plus failed, the Air failed. Does anyone else think the iPhone doesn’t need a secondary base model?

 

[usmaak]

Every time I've checked, all of the Air versions have been available at the Apple Store down the street.

I am in the process of returning my 17 Pro Max for a 17 Pro. The silver and orange colors are available today if I wanted either of those colors. Seeing as I want blue, I have to wait until the 20th.

 

[supergt]

Who would have thought that consumers are actually pretty smart? The Air is full of compromises and too expensive for what it actually offers.

Edit: the base 17 is actually the best value iPhone Apple has produced in many years. No surprise that it will do very well.

 

[awshucks]

I think the iPhone Air is not selling as well as Apple hoped because all the commercials I've been seeing are about the Pro. They are simply not marketing the Air well, which is why the mini failed.

 

[currocj]

Bring back the mini !

 

[vertsix]

It’s almost like… people aren’t willing to compromise features for a thinner phone?

Feels like a step backwards.

 

[VisceralRealist]

Not surprising. Thinness is not as big of a priority for most consumers when compared to battery life or cameras. Most people want either 1) the basic phone with most of the features, 2) the flagship with all of the features. It's hard to justify a phone that is more expensive than the base model but is missing some of what the base phone offers (more cameras, better battery life). Its thinner, appealing design was supposed to compensate for the missing features and the higher price, but it doesn't appear to be doing so.

Apple hasn't been able to come up with a viable "fourth option". The Mini and the Plus were both the least popular of the models when they were available. They tried smaller, they tried bigger, now they've tried thinner. Not sure what else they can do to make something as successful as the base model and the Pros.

 

[delsoul]

Bring back the iPhone 5c!

 

[dandyryan]

the iphone air is a skinny legend (like mariah carey) but lets be real the general public needs more than 1 camera, especially at $999 like how tf am i gonna zoom in during a concert and flex how close i am sitting to the performer on instagram stories

 

[grist44]

The Air has always been a curiosity for me. I’m not sure who this is for. If you want a thin device, you’ll likely not put a case on it. And most people don't put cases so they can show off that they have the newer and better model. However, you still don’t have the better (and more expensive) option out there, which is the Pro. I’d completely understand if they went all-in with a very premium Air with a much higher price tag that not many can afford. Then it would be in this unique position of luxury, so the compromises wouldn’t be obvious to them. It’s a very strange strategy.

 

[bradman83]

The Air has always been a curiosity for me. I’m not sure who this is for. If you want a thin device, you’ll likely not put a case on it. And most people don't put cases so they can show off that they have the newer and better model. However, you still don’t have the better (and more expensive) option out there, which is the Pro. I’d completely understand if they went all-in with a very premium Air with a much higher price tag that not many can afford. Then it would be in this unique position of luxury, so the compromises wouldn’t be obvious to them. It’s a very strange strategy.

There's a strong argument that the Air is a testbed for technologies and build techniques that Apple will use for the Fold, which is likely to be a bit like two Airs joined together. The Air allows apple to earn some money now off of their R&D efforts while offering a unique product that at least some enthusiasts will embrace. I suspect it won't be a long term offering similar to the Mini.

 

[timber]

Holding an Air in hand it doesn't feel that thin or whatever compared to regular models. One obvious giveaway is the limited camera array.

 

[turbineseaplane]

The Air is not "a failure"

Nor was the Mini .. nor the Plus

ALL OF THEM had buyers interested in them.

It's nice to have options.

 

[jpallarest]

This iPhone Air is the best iPhone I’ve ever had. It’s sad it most likely won’t return for a revision in the line. All people want is these technological Pro bricks, no matter if they don’t really use the Pro features.

 

[vmac556]

The new pros look hideous with the glass cutout on the back. And aluminum is a step backward, any drop will leave a dent. I love my air and its the most durable iphone ever made. Get mad everyone

 

[blairh]

The iPhone Air will not do well in its first year. It's simply too compromised with a single camera and earpiece speaker. I expect stronger sales once Apple can add a second camera and speaker.

 

[zarmanto]

I suspect any interest in the Air at all is a win for Apple, considering that it appears to be little more than a stopgap model. The entire point of the innovations that made the Air possible was to reach next years folding phone goals. The Air may or may not last very long, after that's released. And that's fine.

 

[CaféPicasso]

I actually love the Air.
But let’s be honest — it’s not selling well, and that’s not just because of the obvious compromises. I really think the marketing team dropped the ball here.

The launch video? Super serious. No spark, no humor, no fun. It felt like it was designed only to make people go “Whoa!” — but not in a way that connects emotionally. It’s all just:
“It’s so tough! Look at our engineering! The camera works! The battery lasts!”
Cool... but that’s kind of the bare minimum, isn’t it?

There’s nothing that makes you feel anything. No sense of cleverness or charm. Remember the old MacBook Air ad? The one with “I’m a new soul living in a strange world...” — it had personality. It made you smile. It made you want the thing, even if you didn’t need it.

That’s what the iPhone Air is missing: a bit of soul, a bit of character.

 

[PBG4 Dude]

Not surprising. Thinness is not as big of a priority for most consumers when compared to battery life or cameras. Most people want either 1) the basic phone with most of the features, 2) the flagship with all of the features. It's hard to justify a phone that is more expensive than the base model but is missing some of what the base phone offers (more cameras, better battery life). Its thinner, appealing design was supposed to compensate for the missing features and the higher price, but it doesn't appear to be doing so.

Apple hasn't been able to come up with a viable "fourth option". The Mini and the Plus were both the least popular of the models when they were available. They tried smaller, they tried bigger, now they've tried thinner. Not sure what else they can do to make something as successful as the base model and the Pros.

The mini did its job. It increased the price of regular and plus models by $100, even after it was discontinued.

 

[DrWojtek]

Not a surprise, the mini failed, the Plus failed, the Air failed. Does anyone else think the iPhone doesn’t need a secondary base model?

The mini failed because it was too damn small. Yet the 6.3 is too big. 5.8 is the best spot!

 

[Kidseeghost]

I think the new phones are great. Some people just hate them because they fell for the Titanium marketing gimmick. Be honest the majority of the phone was glass not titanium. The base model is finally the best deal. And the Pros finally god rid of that fragile glass back and overheating issues. I hope this design trickles down to the regular phone next year and in the future they get rid of all the glass on the back.

 

[Agent007]

There's a strong argument that the Air is a testbed for technologies and build techniques that Apple will use for the Fold

Doesn't bode well for the iFold. I know I'm comparing two different devices but, just like the Air, the iFold will cost more for a lot of compromises (including a plastic screen and TouchID). I think Apple will struggle to hit a sub-$2,000 base price. Folding phones are part niche device, part gimmick. I think the "clamshell" design could end up taking a huge market share over the next decade but I don't think that many people are interested in having an iPhone and iPad in one device except for those whose phone is their only internet connection and have limited data in hotspot mode.

 

[turbineseaplane]

The truth is that there have been buyers in large numbers for basically every single iPhone Apple has ever offered.

None of them have "failed".

Just because Apple insists on every model selling in "MEGA MOAR NUMBRRZZ" doesn't mean any of them were "failures".

I wish folks would advocate for more choices in form factors and sizes.

It totally sucks to have everything they offer be nearly the exact same device.

 

[Nozuka]

Not being able to sell the Air in China was probably the biggest blow. All the items in stock had to be relocated to other countries.