Apple has acknowledged supply shortages affecting its new iPhone Duo, with customers facing delivery delays that could extend into next year. The company has not provided a clear timeline for when supplies will meet customer demand.
Apple Chief Operating Officer Sabih Khan addressed the issue during the company's fiscal fourth-quarter earnings call on Monday. He said production was progressing well, although the company could not predict when availability would improve.
“iPhone Duo is constrained as of today. The ramp is going well, and we’re working hard to get this revolutionary new product into the hands of our customers as quickly as possible. But at this time, it’s really hard to predict when supply and demand will be in balance,” Khan said.
Customers who missed the initial preorders or store launches are now seeing delivery estimates move into next year. Verizon has also apologized to customers for the delays and offered gift cards as compensation.
An October report by the Financial Times said Apple had described demand for the Duo as ‘nothing short of extraordinary.’ The device reportedly sold out on Apple's website within hours of its launch.
The supply shortage was not the only concern raised during the earnings call. Executives also faced questions about increasing memory chip prices. Growing demand from the artificial intelligence industry has pushed up memory chip costs. This has increased expenses for hardware manufacturers and could lead to higher prices for electronic devices.
Khan acknowledged that Apple had already increased prices on several products. He said the company had made those decisions ‘reluctantly.’ Chief Executive Officer John Ternus also highlighted the early response to the product.
“We’ve been thrilled with the early response from reviewers and customers, and we are working hard to get iPhone Duo into customers’ hands as quickly as we can,” Ternus said.
Apple is also strengthening its supply arrangements to meet demand for the Duo. The company said it was deepening its partnership with titanium producer Perryman to secure materials for the new device.
Also Read: Apple Addresses iPhone Duo Screen Cracks: What Buyers Need to Know