At just 5.2mm, Apple's iPhone Air 2 might miss the point

Apple has instructed some suppliers to reduce production for the newly released iPhone 18 Pro and iPhone 18 Pro Max, according to Nikkei Asia. The electronics giant has become more cautious with shipments since early September as soaring memory chip costs and price hikes have negatively impacted consumer demand, multiple sources familiar with the situation told Nikkei.

Apple's component orders for October have been cut by at least 15% compared to the initial requests, the report added, citing unnamed individuals. However, Reuters could not independently confirm the information and Apple did not immediately respond to a Reuters inquiry for comment outside regular business hours. The tech industry has been aggressively acquiring advanced chip-making capabilities and memory chips to support AI data centers, leading to shortages and price surges that are anticipated to shrink both the personal computer and smartphone markets this year.

In June, Apple increased the prices of its iPad and MacBook due to the inability to protect customers from skyrocketing memory and storage chip costs driven by the AI industry's data center expansion. Demand for Apple's devices has dipped since late August through October, though this could be attributed to Apple adjusting its launch schedule for iPhone models, Nikkei reported.

Earlier this month, Apple unveiled the newest generation of its flagship smartphone, the iPhone 18 Pro and Pro Max, alongside its foldable device, the Duo. Starting at $1,199 and $1,299 respectively, the iPhone 18 Pro and Pro Max are priced $100 higher than their predecessors, the iPhone 17 Pro and Pro Max. As more AI features are integrated into iPhones and other products, Apple's demand for high-performance memory has surged, elevating the crucial role of suppliers amidst a global memory shortage.