Apple's stock fell nearly 3% on Monday, fueled by concerns over lacklustre demand for the newly announced iPhone 16 Pro models, as per a recent Reuters report. According to analysts, shorter delivery times and delayed AI features may be deterring potential buyers from upgrading.

The iPhone 16 series, introduced last week, centres around Apple's new AI software, Apple Intelligence. However, a significant portion of the much-anticipated AI features won't be available in the US until next month, and globally even later. This delay could be causing customers to hesitate, waiting for these advanced capabilities before committing to a purchase.

Data from Bank of America (BofA) Global Research revealed that delivery times for the iPhone 16 Pro models are currently shorter than those for last year's iPhone 15 Pro. Three days after pre-orders opened, the average shipping time for the iPhone 16 Pro is around 14 days, compared to 24 days for the 15 Pro last year. Similarly, the iPhone 16 Pro Max has a 19-day shipping time, down from 32 days for its predecessor.

While some analysts view the shorter shipping times as a signal of weaker demand, others point to improved supply chain conditions as a contributing factor. Last year, supply issues, particularly with camera lens components, impacted shipments of the iPhone 15 Pro Max, inflating delivery times.

Taiwan-based analyst Ming-Chi Kuo of TF International Securities highlighted that pre-order sales for the iPhone 16 Pro and Pro Max are down 27% and 16%, respectively, compared to last year's models. Kuo believes that the primary factor behind the underwhelming demand is the absence of Apple Intelligence at launch, which is meant to be the iPhone 16 Pro series' standout feature.