Apple unsure when it will be able to meet demand for iPhone 4, iPad

Posted:
in iPhone edited January 2014
As Apple continues to face overwhelming demand for the iPhone 4 and iPad, selling every unit it can make, the company remains unsure when its production capacity can find equilibrium.



Both the iPad and iPhone 4 have been consistently sold out since each product launched last quarter. The company announced Tuesday that it has sold 3.27 million iPads thus far, while the launch of the iPhone 4 managed to sell 1.7 million handsets in its first three days of availability.



Apple executives were asked during the company's quarterly earnings conference call on Tuesday when they believe Apple will be able to produce enough hardware to meet consumer demand. Chief Operating Officer Tim Cook said he simply does not know.



"Currently we are still selling both of those products as fast as we can make them," Cook said. "So we are still quoting longer lead times than we'd like, and we're working around the clock to try to get supply/demand in balance. In the scheme of things, its' a good problem to have."



Cook said he doesn't view high demand as a "problem," ever, but he remains confident that the company will be able to increase capacity to meet consumer desire for the iPad. He indicated that Apple was genuinely surprised by consumer demand for the iPad, and initially was producing too few to meet the market demand that swelled and persisted after the device's April launch.



Apple has been "pleasantly surprised," Cook said, at how fast the iPad has sold to start. He said the product is not following a typical early adopter curve -- it's quickly broken into the mainstream.



"I don't know how high is high," he said. "Our gut tells us that this market is very big. And we believe that iPad is really defining the market, and we want to take full advantage of it. And so we are investing enormous time and resource in increasing our capability in getting iPad out to as many people as we can."



As for the iPhone 4, it launched just two days before Apple's fiscal quarter concluded on June 26. He said the company is still ramping up and increasing volume, but there is not one specific thing that has stood in the way of ramping up production.



"It's just a matter of getting up the ramp," Cook said.



The COO also said that Apple does not create artificial product shortages in order to generate hype. Apple is truly struggling to meet consumer demand for its products, and would prefer to sell as many as it could.



"The demand for iPhone 4 is absolutely stunning," Cook said. "And we are working very hard to catch up with demand, and I can't predict when that will occur, but I can tell you that everyone is working very hard to do it."
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Comments

  • Reply 1 of 79
    SpamSandwichSpamSandwich Posts: 30,721member
    "it's absolutely stunning", alright.
  • Reply 2 of 79
    rabbit_coachrabbit_coach Posts: 1,114member
    Quote:
    Originally Posted by AppleInsider View Post




    "The demand for iPhone 4 is absolutely stunning," Cook said. "And we are working very hard to catch up with demand, and I can't predict when that will occur, but I can tell you that everyone is working very hard to do it."



    Even all the negative and ridiculous press releases lately didn't help to diminish iP4 demand.

    Well, seems like I will still have to wait for my device. I am so looking forward to get my hands on this beauty.
  • Reply 3 of 79
    quadra 610quadra 610 Posts: 6,743member
    Apple owns PR. They can simply ignore it, create their own, and then just run with it. THAT is how strong their products are across the board.



    This decade belongs to Apple. They've got the game all figured out for the next several years. Easy.
  • Reply 4 of 79
    rob55rob55 Posts: 1,254member
    I'm personally just thrilled that the iPad is doing so well. We all kind of knew that the iPhone 4 would do well. As much as one might think that Apple may have been holding back product to create artificial demand, at this point it is clear that this is not the case.
  • Reply 5 of 79
    bartbuzzbartbuzz Posts: 131member
    I came here to read some troll trash. Where are they? I'm so disappointed.\
  • Reply 6 of 79
    island hermitisland hermit Posts: 6,217member
    Quote:
    Originally Posted by BartBuzz View Post


    I came here to read some troll trash. Where are they? I'm so disappointed.\



    We're holding back troll content today to create artificial demand.
  • Reply 7 of 79
    luisdiasluisdias Posts: 277member
    Quote:
    Originally Posted by BartBuzz View Post


    I came here to read some troll trash. Where are they? I'm so disappointed.\



    Ha. Everybody knows that people are sheep and buy apple goods cause they are brainwashed consumer know nothings... who can't even see the price label and make the rational choice of not wasting 10 times more money than in any other label.l.. but people are stoopid, I mean, this is the same generation that ten years ago was spending 10 times more money on Nike shoes just because of the brand, ya know.



    (How's that for troll trash? Not enough?)



    Bah, iPhone 4 will LOSE bigtime. Cause they can't even build antennas, for chrissakes. How fucking lame is that. They always choose their awful design over usability. These are people who rather have bad-ergonomic induced pains over their lifetimes than conceding their fanatic view over aesthetics. Which is crazy, since all their products are fugly, anyway.



    When people know the TRUTH, they will leave Apple, like, 4evah. And then your stock will be worth zilch. ZILCH.



    (I can produce this kind of shit forever too...)
  • Reply 8 of 79
    mstonemstone Posts: 11,510member
    I got rid of my iPhone for a Nokia.



    Well not voluntarily... my 3GS accidentally took a swim yesterday. Now I have an old dumb flip phone Nokia until I can find a new iPhone. I hope they have at least one left between the three Apple stores in town.
  • Reply 9 of 79
    Can't wait to see what other 'new products' Jobs keeps referring too!
  • Reply 10 of 79
    charlitunacharlituna Posts: 7,205member
    Quote:
    Originally Posted by Rabbit_Coach View Post


    Even all the negative and ridiculous press releases lately didn't help to diminish iP4 demand.



    Of course not. There's a hugh audience that sees this as just an ATT issue since it hasn't had an actual effect on them.



    And there's a hugh audience in the US that doesn't read blogs etc. So they have no idea all this fuss is going on.
  • Reply 11 of 79
    maestro64maestro64 Posts: 4,453member
    Quote:
    Originally Posted by LuisDias View Post


    Ha. Everybody knows that people are sheep and buy apple goods cause they are brainwashed consumer know nothings... who can't even see the price label and make the rational choice of not wasting 10 times more money than in any other label.l.. but people are stoopid, I mean, this is the same generation that ten years ago was spending 10 times more money on Nike shoes just because of the brand, ya know.



    (How's that for troll trash? Not enough?)



    Bah, iPhone 4 will LOSE bigtime. Cause they can't even build antennas, for chrissakes. How fucking lame is that. They always choose their awful design over usability. These are people who rather have bad-ergonomic induced pains over their lifetimes than conceding their fanatic view over aesthetics. Which is crazy, since all their products are fugly, anyway.



    When people know the TRUTH, they will leave Apple, like, 4evah. And then your stock will be worth zilch. ZILCH.



    (I can produce this kind of shit forever too...)



  • Reply 12 of 79
    brucepbrucep Posts: 2,823member
    2dbl post
  • Reply 13 of 79
    lilgto64lilgto64 Posts: 1,147member
    Where is the data on other product launches showing initial 4 week lead time - shrinking to 3 weeks - shrinking to 1 week - shrinking to 3 days - etc.



    And where are the headlines proclaiming the day manufacturing volumes exactly meet demand?
  • Reply 14 of 79
    brucepbrucep Posts: 2,823member
    Quote:
    Originally Posted by christopher126 View Post


    Can't wait to see what other 'new products' Jobs keeps referring too!



    it hit me that the pin in the ATT bottle neck has always been the touch

    so maybe baby

    a slew of 3g face time's coming out

    ipod touch

    nano phone

    mbp

    mba

    atv



    apples 100 million itunes accounts can now see each other and call for free over a super sized SERVER farm 3G >>>>4G/7G NET WORK



    jrr says it best about the coming apple worldwide domination

    >>>

    Three Rings for the Elven-kings under the sky,

    Seven for the Dwarf-lords in their halls of stone,

    Nine for Mortal Men doomed to die,

    One for the Dark Lord on his dark throne

    In the Land of Mordor where the Shadows lie.

    One Ring to rule them all, One Ring to find them,

    One Ring to bring them all and in the darkness bind them

    In the Land of Mordor where the Shadows lie.



    >>>>>>>>>>

    the iphone ipad and touch are still brand new under >> delevoped products



    one ring to bind them >>>mobile me i guess



    9
  • Reply 15 of 79
    rob55rob55 Posts: 1,254member
    Quote:
    Originally Posted by LuisDias View Post


    Ha. Everybody knows that people are sheep and buy apple goods cause they are brainwashed consumer know nothings... who can't even see the price label and make the rational choice of not wasting 10 times more money than in any other label.l.. but people are stoopid, I mean, this is the same generation that ten years ago was spending 10 times more money on Nike shoes just because of the brand, ya know.



    (How's that for troll trash? Not enough?)



    Bah, iPhone 4 will LOSE bigtime. Cause they can't even build antennas, for chrissakes. How fucking lame is that. They always choose their awful design over usability. These are people who rather have bad-ergonomic induced pains over their lifetimes than conceding their fanatic view over aesthetics. Which is crazy, since all their products are fugly, anyway.



    When people know the TRUTH, they will leave Apple, like, 4evah. And then your stock will be worth zilch. ZILCH.



    (I can produce this kind of shit forever too...)



    I think you were a little too blunt and obvious. It's all about the subtlety. With posts like these, you wouldn't last very long.
  • Reply 16 of 79
    rob55rob55 Posts: 1,254member
    Quote:
    Originally Posted by brucep View Post


    jrr says it best about the coming apple worldwide domination

    >>>

    Three Rings for the Elven-kings under the sky,

    Seven for the Dwarf-lords in their halls of stone,

    Nine for Mortal Men doomed to die,

    One for the Dark Lord on his dark throne

    In the Land of Mordor where the Shadows lie.

    One Ring to rule them all, One Ring to find them,

    One Ring to bring them all and in the darkness bind them

    In the Land of Mordor where the Shadows lie.



    >>>>>>>>>>

    the iphone ipad and touch are still brand new under >> delevoped products



    one ring to bind them >>>mobile me i guess



    9



    So SJ is Sauron then I guess.



  • Reply 17 of 79
    drdbdrdb Posts: 99member
    Pleasantly surprised is how I feel about iPad as well. I knew it would be successful, but I never imagined it would be quite this successful and I never imagined it would create quite such a large dent in the netbook market. Once I got hold of mine I was much less surprised though, the iPad is a wonderful piece of kit. Taking it into work I didn't get much done that day for everyone wanting to take a look and have a go on it. I'm sure quite a few of them will get one now. I did however contribute to the delay of at least one other person though, my first one was duff, thankfully the Apple support people were really helpful in taking it off me and sending me a replacement very quickly.
  • Reply 18 of 79
    Like Apple can't find another plant to get these iPhones manufactured?! I'm loosing my faith in Apple as it clearly doesn't learn form past mistakes with the rollout of iPhones. They know the demand is huge so why don't they just meet up to the demand. I wouldn't like to have manufacturers that can't meet my demands!



    It sounds so not Apple to not have full control over this situation!
  • Reply 19 of 79
    rabbit_coachrabbit_coach Posts: 1,114member
    Quote:
    Originally Posted by BartBuzz View Post


    I came here to read some troll trash. Where are they? I'm so disappointed.\



    Quote:
    Originally Posted by LuisDias View Post


    Ha. Everybody knows that people are sheep and buy apple goods cause they are brainwashed consumer know nothings... who can't even see the price label and make the rational choice of not wasting 10 times more money than in any other label.l.. but people are stoopid, I mean, this is the same generation that ten years ago was spending 10 times more money on Nike shoes just because of the brand, ya know.



    (How's that for troll trash? Not enough?)



    Bah, iPhone 4 will LOSE bigtime. Cause they can't even build antennas, for chrissakes. How fucking lame is that. They always choose their awful design over usability. These are people who rather have bad-ergonomic induced pains over their lifetimes than conceding their fanatic view over aesthetics. Which is crazy, since all their products are fugly, anyway.



    When people know the TRUTH, they will leave Apple, like, 4evah. And then your stock will be worth zilch. ZILCH.



    (I can produce this kind of shit forever too...)



    Yupiiie. Just mention the devil and here they come!! And UHUUU this is a big rumpling troll. Wonder from which side of the moon he comes.

    This is just too funny to be true.
  • Reply 20 of 79
    desarcdesarc Posts: 642member
    i feel like i've read all of this before... in the previous 9 stories about the Q3 call.

    i'm very psyched not only about the growth of iOS and it's halo of Mac sales, but also for Apple's inevitable foray into the HTPC/TV.



    i don't care if the supply constraints are legitimate or fabricated; everyone is lining up to buy this stuff and my shares thank you all.
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