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- Early signs suggest iPhone 17 preorders may be pacing ahead of the iPhone 16 in China. A popular Chinese retailer reported high early demand for the iPhone 17 series.Smartphone competition in China is stiff, as local competitors also plan launches this month.
It looks like the iPhone 17's debut in China is going well.
Apple's new smartphone lineup became available for preorders on Friday, and analysts and Chinese e-commerce retailer JD.com say it did well compared to last year's model. Preorders for the iPhone 17 surpassed the first-day volume of last year's iPhone 16 series on JD.com, the South China Morning Post reported Saturday.
Ming-Chi Kuo, a TF International Securities analyst known for his knowledge of Apple's supply chain, also said in a social media post that the iPhone 17 series seemed to be outpacing its predecessor. SCMP reported that the entry-level 256GB iPhone 17 was the most popular model on JD.com.
For some, it's too early to tell if the early growth will significantly impact Apple's coming quarter.
"There is momentum in China around the new iPhone portfolio, but we ought to give it some breathing room to see if it will settle down and generate meaningful growth," Forrester analyst Dipanjan Chatterjee told Business Insider.
Although it's only been available for a few days, some other analysts also predict strong demand for the iPhone 17 overall. Wedbush Securities analysts wrote Friday that they expected worldwide orders for the iPhone 17 to be up 5% to 10% from last year, seeing this as a "massive upgrade opportunity" for those who've held off on trading in their phones.
While Apple grew revenue in China last quarter, it still faces obstacles in the region. The star of its September iPhone event — the thin, new iPhone Air — could face delays in China. After Apple's unveiling, the company updated its Chinese website to inform shoppers that release information for the new Air would be updated "subject to regulatory approval."
And there's still Apple's local competitors to consider, Morningstar's William Kerwin said. It appears both Huawei and Xiaomi have phone launches coming in September. Huawei introduced the second generation of its tri-fold phone days before Apple's fall event.
"We still see domestic competition as a headwind to Apple's growth in the region, but Apple remains among the top market shares for smartphone vendors in China," Kerwin said.
