Apple on track for record quarter as iPhone 17 draws crowds

Core Insights - Apple Inc.'s iPhone 17 series has experienced strong demand in India, with top models selling out on the first day of sales, indicating a successful launch despite concerns over slow innovation in artificial intelligence [1][13] Sales Performance - Preorders for the iPhone 17 series were nearly 10% higher than last year, with expectations of a 19% year-on-year sales surge in the first week [2][7] - Analysts predict Apple will surpass 5 million iPhone sales in India this quarter, marking the 15th consecutive quarter of record sales [2][3] - The base model of the iPhone 17 has seen a 30% increase in preorders compared to the iPhone 16, suggesting a strong upgrade interest among consumers [6] Market Trends - The initial demand for the iPhone 17 series is reported to be 19% higher than that of the iPhone 16 series, reflecting Apple's successful strategy in the premium market segment [7][8] - The festive season is expected to boost sales by 28% compared to last year, contributing to another record year for Apple in India [8] Supply Chain and Production - Supplies of the Pro and Pro Max variants were limited, with only 3% available during the first round of sales, but a second round of supplies is expected soon [9][10] - All units of the iPhone 17 and 17 'Air' are assembled in India, while Pro variants have mixed sourcing to meet global supply chain demands [11] Financial Impact - The iPhone 17 is anticipated to contribute up to 15% of Apple's smartphone sales in India for the September quarter, translating to approximately 700,000 units sold in the last 11 days of the quarter [12] Competitive Landscape - Despite strong demand for the iPhone 17, analysts note that Apple is lagging behind competitors like Google and Microsoft in AI integration, which has not significantly impacted current sales [13][14]