Apple (AAPL) - Get Report is preparing its suppliers to mass-produce more than 75 million of its new 5G-enabled iPhones ahead of the phone’s fall launch, a sign of how much demand the technology giant is anticipating for its flagship product even amid the global pandemic and economic downturn.
Cupertino, California-based Apple reportedly has signaled to its producers in China to begin ramping up production of its next generation of iPhone models. The company is expecting shipments of its various iPhone 12 models to reach as high as 80 million units in 2020, Bloomberg reported on Tuesday.
Hon Hai Precision Industry, also known as Foxconn, has put up several notices on WeChat over the past month recruiting workers for its main iPhone campus in the central Chinese city of Zhengzhou, Bloomberg said.
Apple is widely expected to launch four new 5G-enabled iPhone models in October, with a modified design and a wider variation of screen sizes. The company has also begun prepping a new iPad Air as well as new versions of its Apple Watch and over-ear headphones to accompany its AirPod and AirPod Pro lineup.
Apple’s sales expectations are a sign of how much pent-up demand the company sees for its flagship iPhone models as well as its other products, even as the coronavirus pandemic continues to spread both financial and physical uncertainty globally.
In the summer of 2019, Apple suppliers were preparing to make components for as many as 75 million of the then-iPhone 11 handsets; the target was similar in 2018 when it released the highly anticipated iPhone X series.
The four new phones will be split into two basic and two high-end models for the first time, and all will feature OLED displays with improved color and clarity.
The two regular iPhones will come in a new 5.4-inch size and a 6.1-inch option, while the Pro devices will offer a choice of a 6.1-inch or an enlarged 6.7-inch display, the biggest screen size Apple has offered on an iPhone.
The company is also planning a dark blue color option on the Pro models to replace the Midnight Green of 2019’s iPhone 11 Pro line.
Apple, which last month became the first company to reach a $2 trillion market capitalization, announced on its third-quarter earnings call that it was splitting its shares 4-for-1 as a way to make its stock more accessible to more investors.
Shares of Apple were up 1.98% at $131.59 in trading on Tuesday. The stock has more than quadrupled in value since Apple's last split in 2014.