iPhone 6S: China demand can solidify Apple's position in the market

Apple claims that it may well be on track to beat previous year's record on iPhone sales as demand from China can boost the company's performance. Even with China's economic situation, the country is well poised to hand Apple its much needed sales given the size of its market. Furthermore, Wall Street analysts are more optimistic over the turnout of iPhone 6s pre-orders, adding fuel to the fire that Apple may be in for another smartphone jackpot.

Gene Munster, analyst from investment firm Piper Jaffray, supported China's role of Apple's possible performance: "We expect the actual 6S opening weekend number that will likely be announced on Monday, Sept. 28th to be 12-13 million units. From a high-level, the iPhone 6S cycle seems to be off to a 10-20% better start than the iPhone 6, but note that given China is launching for the first time in the initial launch."

Further the analyst said that even without China, the current smartphone's growth will be at 0 to 10 percent growth compared to the iPhone 6 launch. This is based on the 3 percent y/y growth for the 6S cycle.

Credit Suisse's Kulbinder Garcha also backed up the forecasts saying, “We believe this news supports our belief, as stated in our note (“Apple still solid”), that iPhone demand remains resilient. Strong demand and a growing installed base give us confidence that our CY15/CY16 iPhone estimates of 234mn/241mn may prove conservative."

The company did claim that the iPhone 6 Plus is already sold out online, highlighting China with strong demands. According to Financial Times, Apple's upcoming sales figures will be a testament and counter message to those in Wall Street doubtful about its smartphone future. Apple told CNBC, "We are on pace to beat last year's 10 million unit first-weekend record when the new iPhones go on sale Sept. 25." The company also claimed that response to the iPhone 6s and iPhone 6s Plus has been considerably positive. Demand particularly pre-orders remain very strong across the globe.

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