iPhone 18 Pro Demand Stronger Than Expected

Apple's latest iPhone upgrade cycle is experiencing demand that exceeds expectations. An Evercore ISI consumer survey, conducted with nearly 4,000 respondents in the United States, reveals that 67% of participants cited their current iPhone's age as the primary reason for upgrading, a significant rise from 48% in the previous year's survey. Furthermore, Apple's higher-end devices are proving popular among buyers.

The iPhone 18 Pro and Pro Max models together accounted for 53% of prospective buyers, with 32% opting for the Pro Max, a slight increase from the previous year's 29%. Evercore estimates a potential 28% rise in average iPhone selling prices, driven by a combination of higher retail prices and a greater proportion of premium model purchases. The inclusion of 2TB storage configurations, such as the iPhone 18 Pro models and the iPhone Duo, also contributed to this increase.

The foldable iPhone Duo attracted the interest of 14% of respondents, a figure expected to grow as its mid-October launch nears. Despite this interest, the survey currently places the Duo behind the combined Pro models. Interest in other Apple products was also evident, with 38% of respondents planning to purchase an Apple Watch and 43% considering AirPods, both figures up from the previous year.

The survey findings reflect purchase intentions in the U.S., rather than completed sales or global demand. Despite this, Evercore believes they provide a stronger revenue outlook for Apple's fiscal 2027 than the ~7% growth forecasted by analysts.