Apple's Chief Operating Officer Sabih Khan confirmed during the company's fiscal fourth-quarter earnings call on November 2, 2026, that the highly anticipated iPhone Duo continues to experience supply shortages. While production is increasing, Khan emphasized the difficulty in predicting when supply will fully meet the extraordinary consumer demand. This has resulted in shipping delays, with many customers facing wait times stretching well into 2027. Telecom providers like Verizon have had to apologize to customers, even offering gift cards to mitigate dissatisfaction.

Demand for the iPhone Duo has far exceeded expectations, with the device selling out within hours on Apple’s website upon release. Apple is actively working to scale up production, including strengthening partnerships such as with Perryman, a titanium supplier critical to the foldable device’s manufacturing. CEO John Ternus acknowledged the enthusiastic response from both reviewers and customers and reiterated the company's commitment to delivering the product as swiftly as possible. Despite these efforts, the supply chain constraints remain a significant challenge for the company.

The supply constraints come amid broader pressures from rising memory chip costs triggered by increased demand from the AI sector, which has also affected other hardware makers. Apple has responded by increasing its inventory substantially, with stockpiled components rising 154% year-over-year to $14.54 billion in Q4 2026. This inventory buildup, alongside price hikes on some product lines like iPhones, Macs, and iPads, aims to offset the escalating component expenses. Nevertheless, Apple warned that memory costs are expected to continue climbing into 2027, potentially impacting future product pricing.

These supply and cost hurdles have also influenced other segments, notably iPad sales, which declined 10% year-over-year in the quarter due to similar constraints. Despite these issues, Apple reported strong sales for iPhone and Mac units that surpassed analyst expectations. While Apple faces a challenging environment balancing demand, supply, and pricing pressures, it continues to invest heavily in manufacturing and procurement to stabilize its supply chains and meet consumer demand as soon as possible.