Apple Inc. Orders A Record Number Of New iPhones… But what does it mean for the USB Market?

13970049444_86d62aae2d_oThis week the Wall Street Journal reported that Apple (NASDAQ:AAPL) has placed orders with its manufacturing companies to produce a staggering and record breaking number of next generation iPhones, to be offered to the public after its reported release early this fall. Somewhere between 85 million to 90 million new devices will be made available immediately after the expected September launch. The number is up quite a bit from last year, considering Apple Inc. sold 74.5 million iPhones in the current fiscal Q1 2015.

What this means for Apple is that they believe the new iPhone (let’s call it the iPhone 6s) will be another record breaking launch and holiday season. Personally, I am betting that the company knows its new features and technologies will be groundbreaking, causing a rush to their stores to buy the latest model.

But what does this mean for USB drives and the rest of the memory market? As an industry insider I can confidently report that year-over-year, the July/August order by Apple creates a drain on the global supply of RAM memory, effectively driving the price of said RAM upwards.  Many industries use the same RAM memory inside its devices; from iPhones, to Samsung’s and all other smartphones, to cars, household and industrial appliances, to USB drives like the ones we make at USB Direct.  So when the big-boy on the block (Apple) decides to make their biggest single pre-order ever, you’d better bet it’s going to hit all other markets for a period of time.

Historically, the increase comes in early August, settles in September, then begins to decline back towards its pre-jump values by mid-October (give or take a few weeks).  It usually takes until early to mid December to get prices back to where they were in July (now), and sometimes it takes even longer.

So if you are going to need USB drives between now and December of this year, I would recommend getting in front of this prediction by getting your orders in now.  USB Direct holds price quotes for 2 weeks, and always shops the market to offer the best value for your purchase.

We’ll keep an eye on the RAM market and report back as things begin to progress in reflection of the Apple news.

– Daniel Rubin, CEO – USB Direct Inc.

– Sources:  Wall Street Journal, Photo:  martinhajek.com

About the author

Daniel Rubin Daniel Rubin is the co-owner of USB Direct Inc., a Canadian company which specializes in the manufacturing of logo flash drives. You can view his .

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