Qualcomm Supply Issues Providing Further Fuel for Speculation of Fall iPhone Release

Qualcomm yesterday warned analysts that it is experiencing supply issues with some of its advanced mobile phone chips, particularly its new 28-nm modem chips set to power the next wave of LTE devices.

"At this stage we cannot secure enough supply to meet the increasing demand we are experiencing," Chief Executive Paul Jacobs told analysts on a conference call, adding that the issue would limit revenue growth this year. [...]

"Demand went so far ahead of availability that we've decided to start spending more money to get more supply as soon as possible," [Chief Financial Officer Bill Keitel] told Reuters. "Any time we can't make a customer totally happy I'm going to worry. You don't want to give a customer a reason to go elsewhere."

As a result of the issues, analysts believe that vendors may have to slow their rollout of new devices, and a report out today from Piper Jaffray's Gene Munster predicts that the next-generation iPhone will arrive in October.

qualcomm lte roadmap
Qualcomm's LTE modem roadmap (Source: AnandTech)

Munster had previously been modeling for an August launch as a hedge between those thinking the device may arrive in June and those thinking it will arrive in a September-October timeframe similar to the iPhone 4S. Apple is expected to use Qualcomm's 28-nm MDM9615 modem chip in its next-generation iPhone to provide LTE data and voice services, and the chip appears to be one of those impacted by Qualcomm's supply issues.

QCOM will likely support an Apple iPhone launch in October. Based on our checks, we believe the design win momentum of QCOM's 28nm products has been exceptionally strong and a 28nm LTE baseband is likely designed into the next iPhone. QCOM's supply issue likely pushes the launch of the iPhone to October. Based on the increased capital spending this year from TSMC and QCOM's efforts over the last quarter to port its 28nm designs to UMC and probably Global Foundries, we think QCOM will have the capacity to support a Q4 LTE iPhone 5 launch. Moreover, the slow wireless infrastructure spending in 1H:12 is also likely a result of the lack of availability of a low power 28nm LTE baseband modem.

Apple may have been planning for a September-October iPhone launch all along, but Qualcomm's issues seem to make it less likely that those holding out hope for an earlier launch will see something closer to the June-July timeframe that had been the traditional launch window prior to last year.

Munster believes that it is "irrelevant" whether the iPhone launches in August as his model currently predicts or in October, with the primary driver of success being whether the upgrade is a compelling one for consumers. And with the next-generation iPhone expected to offer LTE support and carry a redesigned form factor, it seems likely that it will be an attractive device for both new and upgrade customers.

Related Forum: iPhone

Top Rated Comments

yegon Avatar
149 months ago
Love to see the next iPhone mid year but I'd be surprised. Everything points towards the cycle of q1 iPad, q2-q3 mac, q4 iPhone. Spreads the announcements and focus throughout the year.
Score: 4 Votes (Like | Disagree)
dagamer34 Avatar
149 months ago
The iPhone was never going to launch in June:
1) No iPhone has ever been released without a new version of iOS to go along with it.
2) iOS 6 has not even hit beta stage yet. It would have done so already like in years previous to 2011.
3) The current iPhone would only be 9 months old in June.
4) Because LTE networks are just being built, the longer they wait, the more of them there are.
5) There is almost zero chance TSMC would have produced enough Qualcomm LTE chipsets for a June launch. That means they would be making them in volume right now, which I doubt since Qualcomm has prioritized its 28nm orders for the MSM8960 for launch in phones right now.

The one thing Apple cannot keep secret is road maps of partners products and their past history. Combine the two together and you can see why any suggestion of a June launch is delusional.
Score: 3 Votes (Like | Disagree)
cvaldes Avatar
149 months ago
I work in a public school and you should see all the education acronyms! At our monthly staff meetings, we have this tall bottle. If someone says an acronym & doesn't say what it means, they have to put in a dollar and all money collected gets donated to a charity or something. Pretty funny.
Don't you mean LOL?

;)
Score: 3 Votes (Like | Disagree)
basesloaded190 Avatar
149 months ago
I'll believe it when I see it.

Believe what? That these chips are going to be delayed?
Score: 3 Votes (Like | Disagree)
charlieegan3 Avatar
149 months ago
There are so many different mobile acronyms...


QCOM, LTE, Hspa+, Hspa, TD-, SCDMA the list goes on!
Score: 3 Votes (Like | Disagree)
chaosbringer Avatar
149 months ago
Hope it supports 4G in Europe..
Score: 2 Votes (Like | Disagree)

Popular Stories

iphone se 4 modified flag edges

iPhone SE 4 Details: Action Button, USB-C Port, Face ID, and More

Wednesday September 27, 2023 1:34 pm PDT by
Significant changes are expected to arrive with Apple's fourth-generation iPhone SE, in terms of both design and hardware, MacRumors has learned. The iPhone SE 4, known internally under the codename Ghost, is expected to receive a new design derived almost entirely from the base model iPhone 14. According to our sources, the iPhone SE 4 will use a modified version of the iPhone 14 chassis...
iOS 17

Apple Releases iOS 17.0.2 and iPadOS 17.0.2 for All iPhones and iPads

Tuesday September 26, 2023 12:47 pm PDT by
Apple today released iOS 17.0.2 and iPadOS 17.0.2 updates, with the software coming five days after the releases of iOS 17.0.1 and iPadOS 17.0.1. Today's iOS 17.0.2 and iPadOS 17.0.2 updates arrive as build 21A351 and can be downloaded on eligible iPhones and iPads over-the-air by going to Settings > General > Software Update. Note that iOS 17.0.2 was previously made available for iPhone...
iOS 17

Everything New in iOS 17.1 Beta 1

Wednesday September 27, 2023 1:57 pm PDT by
Just a week after releasing iOS 17, Apple has seeded the first beta of iOS 17.1 to developers. iOS 17.1 adds some features that Apple promised were coming to iOS 17 in the future, plus it refines and improves some existing features. This guide covers everything new in the first iOS 17.1 beta. Apple Music Favorites You can favorite songs, albums, playlists, and artists in the iOS 17.1...
iPhone 15 Pro lineup

iPhone 15 Pro Overheating Concerns Highlighted in Two More Reports

Thursday September 28, 2023 6:25 am PDT by
iPhone 15 Pro and Pro Max overheating concerns continue to make headlines this week, with the topic highlighted by The Wall Street Journal and Bloomberg. Both of the reports document anecdotal complaints from customers, and outline potential causes, but it's unclear how many devices are actually affected. Bloomberg said the overheating could be caused or compounded by the iPhone's setup...
iPhone 15 Pro Lineup Feature

Kuo: iPhone 15 Pro Overheating Issues Likely Due to Thermal Compromises, Not 3nm Node

Tuesday September 26, 2023 9:12 am PDT by
Complaints about heat issues with the iPhone 15 Pro models are not related to TSMC's 3-nanometer node that was used for the A17 Pro chip, according to well-respected Apple analyst Ming-Chi Kuo. Kuo says that overheating could be caused by "compromises made in the thermal system design" that allowed Apple to cut down on the weight of the iPhone 15 Pro models. Kuo says that the reduced heat...
iPhone 15 USB C Port Keynote

Some USB-C Power Banks Fail to Work With iPhone 15

Thursday September 28, 2023 2:06 pm PDT by
Apple added a USB-C port to the iPhone 15 lineup this year, allowing it to work with USB-C cables, USB-C power banks, and more. It turns out that some USB-C battery packs are not working properly with Apple's iPhone 15, resulting in charging issues. As highlighted on Reddit and the MacRumors forums, not all existing USB-C power banks can be used with the iPhone 15 models, perhaps due to the...
Mac Gaming

Apple Explains How Game Mode Works in macOS Sonoma

Wednesday September 27, 2023 2:24 am PDT by
In macOS Sonoma, Game Mode prioritizes CPU and GPU performance for gaming purposes on Macs. For those unfamiliar with Game Mode, Apple on Tuesday published a support document providing more information on how to use the new feature. Game Mode optimizes your gaming experience by giving your game the highest priority access to your CPU and GPU, lowering usage for background tasks. And it...