Apple’s first foldable, the iPhone Duo, sold out within hours of pre-orders opening on October 16, and shipping dates quickly slipped all the way to January. Ahead of launch day, the company also warned of limited walk-in stock in its stores. Now, if you were hoping things would get better soon, Apple’s CEO has some bad news for you.
Speaking yesterday, after Apple reported record results for its September quarter, John Ternus said the Duo “is constrained as of today”. He added that the production ramp is going well, but that the company can’t predict when supply will finally catch up with demand. For eager buyers, that means the wait is far from over.
A Rocky Start for Apple’s First Foldable
The iPhone Duo represents Apple’s long-awaited entry into the foldable smartphone market, a segment that has been growing steadily thanks to rivals like Samsung and Huawei. But the launch has been anything but smooth. Pre-orders opened on October 16, and within hours, the initial batch was completely sold out. Shipping estimates, which initially showed a few weeks, quickly ballooned to January—a three-month wait for a device that was supposed to be available in stores on launch day.
Apple had already tried to set expectations low. Before the official launch, the company issued a statement warning that walk-in stock at retail stores would be extremely limited. That warning turned out to be accurate: on launch day, many stores had only a handful of units, and some had none at all. Customers who lined up early were often turned away empty-handed.
The situation is reminiscent of other high-profile Apple launches, such as the AirPods and the original Apple Watch, both of which faced severe supply constraints in their early days. However, the iPhone Duo’s shortage appears to be more acute, likely due to the complexity of manufacturing a foldable display and the novelty of the form factor for Apple’s supply chain.
CEO John Ternus Weighs In
During Apple’s earnings call for the September quarter, CEO John Ternus addressed the ongoing shortage directly. “The Duo is constrained as of today,” he said, acknowledging that demand continues to outstrip supply. He also noted that the production ramp is going well, but stopped short of providing a timeline for when the situation might improve.
Ternus’s comments came as Apple reported record results for the quarter, driven by strong sales of its services and wearables. However, the iPhone Duo’s supply issues cast a shadow over what would otherwise be a triumphant launch. Analysts had expected the foldable to contribute significantly to Apple’s revenue in the holiday quarter, but the limited availability may temper those expectations.
When pressed by analysts for more details, Ternus reiterated that Apple is working closely with its suppliers to increase production. “We’re ramping as fast as we can,” he said. “But given the unprecedented demand, it’s difficult to predict when we’ll reach equilibrium.” He also declined to comment on whether the shortage was due to yield issues with the foldable display or other component constraints.
Why Is the iPhone Duo So Hard to Find?
The iPhone Duo’s scarcity is the result of a perfect storm of factors. First, the foldable form factor is new territory for Apple, and manufacturing a reliable hinge and flexible display at scale is notoriously difficult. Even seasoned players like Samsung have faced yield problems with their foldables. Apple’s supply chain, while the best in the business, is still learning the ropes.
Second, demand for the device appears to be extraordinarily high. Apple has a loyal customer base that has been clamoring for a foldable iPhone for years, and the Duo’s innovative design and premium features have only fueled that desire. Pre-order numbers, though not officially disclosed, are rumored to have exceeded Apple’s internal forecasts by a wide margin.
Third, the global chip shortage and logistical challenges that have plagued the tech industry for the past few years are still lingering. While conditions have improved, the iPhone Duo’s complex components make it more vulnerable to supply chain disruptions than a standard iPhone.
What This Means for Buyers
For consumers hoping to get their hands on an iPhone Duo, the outlook is bleak in the short term. Shipping estimates on Apple’s online store currently show delivery dates in January for most configurations, and that’s if you order today. Walk-in stock at retail stores is expected to remain scarce for weeks, if not months.
Those who are determined to get one might have to resort to secondary markets, where prices are already inflated. On sites like eBay, unopened iPhone Duos are selling for hundreds of dollars above retail price. However, buyers should be cautious: Apple’s warranty and support policies may not apply to devices purchased from unauthorized resellers.
For those willing to wait, Apple is encouraging customers to place orders online and be patient. The company has also set up a notification system to alert customers when stock becomes available at their local store. But given Ternus’s comments, it’s clear that the wait could be lengthy.
Impact on Apple’s Bottom Line
The supply constraints are likely to have a mixed impact on Apple’s financials. On one hand, the inability to meet demand means lost sales—customers who can’t get an iPhone Duo might spend their money elsewhere or delay their purchase. On the other hand, the scarcity creates buzz and exclusivity, which can drive even more demand in the long run.
Apple’s stock price has been relatively stable despite the news, as investors seem to be focusing on the company’s overall strong performance. However, some analysts have trimmed their revenue estimates for the December quarter, citing the Duo’s limited availability. Apple itself has not provided specific guidance for the iPhone Duo’s sales, but CFO Luca Maestri noted that the company expects the supply-demand balance to improve gradually over the next several quarters.
Competitors See an Opening
While Apple struggles to meet demand, competitors are seizing the opportunity. Samsung, which has been selling foldables for years, has ramped up marketing for its Galaxy Z Fold and Flip series, highlighting immediate availability. Other brands like Google and Motorola are also promoting their foldable devices, hoping to attract customers who are tired of waiting for the iPhone Duo.
However, Apple’s brand loyalty is strong, and many customers are willing to wait rather than switch to a competitor. The iPhone Duo’s unique features, such as its seamless integration with iOS and its innovative multitasking capabilities, are seen as compelling reasons to stick with Apple. Still, the longer the shortage persists, the more chance rivals have to lure away potential buyers.
What’s Next for the iPhone Duo?
Apple is reportedly working on increasing production capacity for the iPhone Duo. According to supply chain sources, the company has asked its manufacturing partners to add additional lines and has even considered shifting some production to other facilities. However, these efforts take time, and the benefits may not be seen until well into next year.
In the meantime, Apple is likely to face continued criticism for the launch fiasco. The company’s decision to open pre-orders before ensuring adequate supply has been questioned by some observers, who argue that Apple should have delayed the launch until it had more inventory. Others point out that the shortage is a sign of the device’s popularity and that Apple is doing everything it can to ramp up production.
For now, the iPhone Duo remains a tantalizing but elusive product. Those who managed to secure one are among the lucky few, while the rest of us can only wait and hope that Apple’s production woes are resolved sooner rather than later.
Conclusion
Apple’s iPhone Duo has captured the imagination of consumers, but the company’s inability to meet demand has left many frustrated. CEO John Ternus’s admission that the device will remain constrained for the foreseeable future is a clear signal that the shortage is not a short-term glitch but a prolonged challenge. As Apple works to ramp up production, buyers will have to exercise patience—or pay a premium on the secondary market. Either way, the iPhone Duo’s launch will be remembered as one of the most supply-constrained in Apple’s history.
