Production of the iPhone 5S is developing into a giant headache for Apple, a new report said, indicating too that release date of the 2013 flagship smartphone could be delayed a bit plus one major issue - restricted supplies for the initial batch of shipments.

It appears that the 2013 fall release for the 5S hinted earlier by Apple CEO Tim Cook will not be met by the tech giant, KGI Securities Ming-chi Kuo said in his new research note, explaining that glitches concerning component supplies and actual assembly of the handset are hampering Apple's production and release calendar.

"We believe iPhone 5S will experience production difficulties among numerous components as well as assembly," Mr Kuo was reported by MacRumors as saying, adding that consumers would likely witness the same issues that troubled the iPhone 5 distribution in Q4 2012.

"The model will thus be available only in limited amounts following launch. We expect undersupply to improve in October or November," the analyst wrote in his note.

While Apple seems to be working doubly-hard in addressing the looming iPhone 5S shortages at the soonest possible time, it could prove too late by the time the patch ups are put into place.

"We are concerned iPhone 5S may face the same problem as its predecessor, namely that by the time supply matures, demand will already have waned, hurting shipments," Apple Insider quoted Mr Kuo as saying.

Fall in the United States officially starts on September 22 but Mr Kuo predicted that the 5S will not arrive within the same timeframe. Instead, Apple will attempt to fill in the gap by unveiling the low-cost iPhone Lite, production of which is far more simplified hence the early completion of shipments for the last quarter of 2013.

Apple will likely ship out at least 26 million iPhone Lites, the bulk of the deliveries believed geared for emerging markets like Brazil, Russia, India, China and South Africa.

However, the budget iPhone will likely come with a $450 tag price as the lowest level, which is hardly attractive for the price-sensitive smartphone buyers. Consumers may end up training their attention instead on Apple's legacy devices - the iPhone 4 and the iPhone 4S, which the tech giant said will be retired this year.

Or shoppers would simply consider the cheaper Android rivals - led by Samsung's mid-range Galaxy models.