Apple's iPhone 17 Sees Strong Demand Amid Global Challenges

Apple has launched its iPhone 17 lineup, with strong demand for the Pro models in the US, Europe, and Asia. The launch follows a 9.6% YoY revenue growth in Q3, driven by a 13.5% increase in iPhone revenue. Despite concerns about its AI strategy and competition in China, the iPhone 17 launch suggests Apple is regaining product momentum. The anticipated foldable iPhone for FY27 could be transformative, but Apple still faces challenges and a high valuation.

Apple's iPhone 17 lineup went on sale Friday, drawing long lines of customers in Europe and Asia amid strong demand for the new products, particularly the Pro models Apple's iPhone 17 Goes on Sale Globally With Reported Strong Demand for Pro Models^[1]. The launch follows a 9.6% year-over-year (YoY) revenue growth in Q3, driven by a 13.5% increase in iPhone revenue iPhone 17 Series Outpaces iPhone 16 in Demand While iPhone 17 Pro Max Tops Pre-Orders, Analyst Says^[2].

The iPhone 17 Pro model, priced at $1,099, features double the storage of its predecessor and a longer battery life, but has received mixed reactions from analysts. Some, like Morgan Stanley, called the iPhone Air "a small positive surprise," while others are waiting for AI-powered upgrades next year Apple's iPhone 17 Goes on Sale Globally With Reported Strong Demand for Pro Models^[1].

Despite concerns about Apple's AI strategy and competition in China, the iPhone 17 launch suggests the company is regaining product momentum. The tech giant has struggled this year amid a view on Wall Street that it has been slow to catch up in the AI race Apple's iPhone 17 Goes on Sale Globally With Reported Strong Demand for Pro Models^[1]. However, strong demand for the Pro and Pro Max models in markets like London and Beijing indicates that consumers are eager for Apple's latest offerings Apple's iPhone 17 Goes on Sale Globally With Reported Strong Demand for Pro Models^[1].

Apple is also preparing for the launch of a foldable iPhone in 2026, which could be transformative for the company. The device is expected to use ultra-thin glass, which is harder and more expensive to produce than conventional smartphone glass Foldable iPhone in the Works: Apple Prepares for 2026 Debut^[3]. This new product line could help Apple maintain its competitive edge in the smartphone market.

However, Apple still faces challenges, including a high valuation and continued competition from domestic rivals like Huawei and Oppo in China. The iPhone 17 launch may provide a temporary boost to Apple's stock, but investors should remain vigilant for signs of long-term success in the AI race and in international markets.