Apple COO Sabih Khan addressed hardware supply challenges during an earnings call, confirming shipping delays for the iPhone Duo that extend delivery times into next year for customers without preorders, amid rising component costs and extraordinary initial demand.
Delays and high demand
Verizon is apologizing to customers for delays in pre-orders and offering gift cards. In October, the Financial Times reported that Apple called demand for the Duo extremely high, after the device sold out within hours.
The cost of components
Increased demand from the artificial intelligence industry has driven up the cost of memory chips. That has also increased the cost of components for device makers. According to Khan, Apple has reluctantly raised the prices of some of its products.
Apple is also strengthening its partnership with titanium producer Perryman to supply materials for its new foldable device. In his opening remarks, Apple CEO John Turnus spoke about the warm reception that early reviews of the device have received, as well as from customers.
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