MC EXCLUSIVE Made-in-India iPhone 17 Pro, Pro Max hit retail stores to ease supply crunch as Diwali fires up demand

Typically, the first wave of iPhone Pro models during the launch month is sourced through imports, often creating demand-supply mismatches. However, the sources cited said Apple anticipated stronger demand this year and ensured a higher supply of imported units.

Foxconn and Tata-run Pegatron are assembling the iPhone 17 Pro, while the Wistron facilities in Karnataka and Hosur are producing the iPhone 17 base model. Foxconn’s Sriperumbudur plant is manufacturing Apple’s slimmest device yet, the iPhone Air. Much of this output is bound for the US and Europe, even as it also supports India’s rising demand, sources familiar with the matter told Moneycontrol on September 10.

Shortage since September 19

Offline retailers across major cities confirmed that Pro variants have been in short supply since the pre-order phase, with availability still limited in physical stores.

“Since the launch [of the iPhone 17 series], general trade retailers across India have been left deeply disheartened by the poor supply allocation. This year, our members have not received even 60 percent of the units compared to the supplies of the iPhone 16 Series during the same period last year. It is highly discouraging when reports suggest that domestic production is high, yet supplies to the General Trade are so meager,” AIMRA wrote in a letter  to Apple India this month .

The All India Mobile Retailers Association (AIMRA) represents 1.5 lakh retailers across the country.
The retail association further highlighted that the limited supply  general trade retailers receive is often bundled with older stock — namely iPhone 15 and 16 models — which are simultaneously being sold at deep discounts on e-commerce platforms.

“Apple India must understand that the General Trade is already suffering from low margins and facing tough competition. We are the backbone of your physical presence nationwide. We sincerely hope and request that Apple India prioritize and provide sufficient, unbundled supplies to the General Trade well before Diwali,” AIMRA said. Moneycontrol has seen a copy of the letter dated October 13.

Separately, the Organised Retailers of South India (ORA) also wrote to Apple India highlighting the “severe shortage of the iPhone 17 Pro and Max models” since September 19.

“When customers see the same products readily available in the open market at such high premiums, it has led to painful accusations that our members are engaging in black marketing or cheating. This situation is a significant blow to the trust our members have built. When the consumer's trust breaks, it breaks the member's trust in the brand, and this is a burden that is becoming too heavy to bear,” ORA said in its letter.

Retailers, through several letters. urged Apple to ensure immediate allocation of iPhone 17 Pro and Max-including the 512GB, 1TB, and 2TB variants.

As Moneycontrol exclusively reported on September 13, the shortage stemmed from Apple’s continued reliance on imported Pro models and its broader retail strategy to make the new iPhone lineup available across a much larger retail footprint — now spanning 500 cities. This expansion has reduced per-store allocations of iPhone 17 Pro and Pro Max units.

Supplies improving ahead of Diwali

Several modern trade retailers told Moneycontrol that iPhone 17 series supplies started improving this week after the availability of India-made models increased. They expect to make up for the sales shortfall seen during the Dussehra period over the week leading up to Diwali.

“Yes, new inventory has started billing this week, and there’s no shortage in modern trade now. Earlier, we saw a wider shortage across the entire iPhone 17 lineup, not just the Pro models,” a retailer told Moneycontrol on condition of anonymity.

“During the Dussehra period, modern trade retailers saw sales drop by up to 50 percent compared to the iPhone 16 series last year due to limited supply. With better allocation now, we expect to recover those missed sales starting this week.”

Another retailer said general trade supply is also set to improve significantly, adding the timing is crucial as more consumers plan new iPhone purchases ahead of Diwali. “If supply continues smoothly, we expect strong sales momentum to carry on even after Diwali,” the retailer said.

Apple has also expanded its retail footprint to meet the growing demand. It now operates four retail stores in India, along with its online store. Two of these outlets — in Bengaluru and Pune — opened earlier this month, ahead of the iPhone 17 launch.

Apple’s sales through its offline and online stores are up about 25 percent this year, driven by strong demand for 17 Pro and Pro Max models, sources said.

Apple opened its first two India retail stores in April 2023 — at Mumbai’s Bandra Kurla Complex (BKC) and New Delhi’s Saket.

Moneycontrol has reported that the two stores together clocked around Rs 800 crore in revenue during their debut year, ranking among Apple’s top-performing outlets globally. Notably, nearly 60 percent of those sales came from the smaller Saket store.

Apple India didn't respond to Moneycontrol's queries.

Rising Pro mix and higher ASPs

“The mix between the Pro and base iPhone models in India is becoming much healthier this year. It’s likely to reach record levels, driven by strong demand and a well-differentiated portfolio. That’s also why Apple is directing a larger share of India-made iPhones to domestic stores,” said Tarun Pathak, Associate Director at Counterpoint Research.

In China, the mix — including older Pro versions — has risen to around 50 percent, up from about 20 percent three to four years ago.

In India, the share of Pro models was in single digits until recently but is now rising sharply and is  expected to reach early double digits this year, according to Counterpoint analysis.

Analysts expect a healthy increase in Apple’s average selling price (ASP) too this year. This is the first time Apple has offered significant discounts on the iPhone 16 Pro models — steeper than in any previous year in India.

“We’re seeing a healthy uptick in Apple’s average selling price this year. Interestingly, this is the first time the iPhone 16 Pro has seen such steep discounting compared to previous launches — a first in Apple’s history in India,” Pathak told Moneycontrol.

Higher demand for iPhone 17 series amid discounting on older models

Apple’s iPhone sales in India are set to grow 28 percent year-on-year, led primarily by the strong performance of the iPhone 17 series, according to Counterpoint. iPhone 17 sales during the launch month are 19 percent higher than the iPhone 16 series in 2024.

While initial supply shortages were reported, demand remains strong. Sources sai Apple is seeing deferred — not lost — demand for the 17 Pro model, as consumers continue to queue up despite limited availability.

“Consumers are willing to wait because they see the value and ongoing buzz around the new models,” Pathak said.