Kuo is bullish on Apple's yet-to-be-released AI features but said it would likely take new hardware iterations to grow iPhone sales.

According to Kuo, the order cut was due to a worse product mix expected in the first half of 2025 and uncertainty about iPhone revenues. This comes in line with expectations of the release of the iPhone SE 4, which, although usually cheaper, does not receive an annual update, which might change the balance in the market.

Apple has reduced its iPhone 16 sales expectations, says analyst Ming-Chi Kuo. The lack of significant AI features is a contributing factor to this decision, impacting production and revenue forecasts.

An analyst claims Apple cut production for 10 million iPhone 16 units, despite Apple Intelligence's full launch next year.

Apple stock fell after a noted analyst reported that the consumer electronics giant cut orders for its iPhone 16 smartphones.

Apple (AAPL) shares dropped 1.8% after TF International Securities' analyst Ming-Chi Kuo said iPhone 16 orders have been cut by around 10M units. Read for more.