Apple Expects Apple Intelligence to Boost iPhone 16 Demand in 2024
Apple anticipates a significant increase in demand for its iPhone 16 in 2024, aiming to ship 90 million units. The tech giant believes that the introduction of Apple Intelligence and other AI features will drive this surge in consumer interest.
Apple Intelligence to Propel iPhone 16 Sales
Apple unveiled its Apple Intelligence features with iOS 18 during WWDC24 in June. These features will be available to the public with the release of iOS 18 this September. Initially, Apple Intelligence will be exclusive to the iPhone 15 Pro and Pro Max models, leaving older models without these advancements. However, the entire iPhone 16 lineup is expected to support Apple Intelligence, including the non-Pro versions. This widespread availability is anticipated to encourage many older iPhone users to upgrade, thereby increasing demand.
According to a Bloomberg report, Apple has set a target to ship 90 million iPhone 16 units in the second half of 2024, a 10% increase from the 81 million iPhone 15 units shipped in the same period in 2023.
Apple Intelligence will introduce a variety of AI-powered features, including an enhanced Siri, advanced writing tools, AI-generated summaries for priority notifications, Image Playground, and integration with ChatGPT. However, some features, like the improved Siri, will not be available at launch and are expected to roll out later in 2025.
Recovery of iPhone Demand in China
Another factor contributing to Apple’s optimism is the recovery of iPhone demand in China. Despite a significant decline in sales at the beginning of the year, the market has rebounded thanks to substantial discounts and overall economic recovery.
However, Apple has yet to secure a partner for Apple Intelligence in China. Negotiations are ongoing with local companies like Baidu, but no agreements have been finalized. Apple aims to establish a partnership before the launch of the iPhone 16 in September.
With the combination of Apple Intelligence and a recovering market in China, Apple is poised to see a notable boost in iPhone 16 sales in 2024.