Apple CEO Apologizes for iPhone 4 Shortages

With thousands waiting in line to get their hands on the iPhone 4, it's no surprise that Apple struggled to meet demand over its June 24th launch. According to the Cupertino-based company, 1.7 million units of the device shipped in its first three days of availability.

The iPhone 4 marks Apple's most successful iPhone launch. Both the 3G and 3GS managed to sell over one million units in their first three full days on the market, but neither had the sales strength of this most recent device.

The incredible sales feat beats most predictions made in the days prior to the launch. (Source: wired.com)

Apple CEO Apologizes for Shortages

All that demand meant Apple struggled to get enough phones to its many fans. "We apologize to those customers who were turned away because we did not have enough supply," said company chief executive officer, Steve Jobs, in a recent press release.

The supply problems appear to be tied to shortages of key components used in the iPhone 4. One crucial issue was LG Display's failure to produce enough LCD screens. Compounding this problem are rumors that there may have been other components whose supply was overtaxed by the launch.

Hype, Convenience Help Boost Sales

So, how does one explain the incredible popularity of the iPhone 4?

Interest in the device was aroused back in April, when a leaked prototype made it into the hands of a Gizmodo reporter. As a result, its feature upgrades were well documented months before the launch, with many consumers aware of the new video camera, improved processing performance, slimmer design and higher resolution display. (Source: pcworld.com)

Second, service provider AT&T helped make more iPhone fans eligible for the iPhone 4 by including anyone whose contracts expired by the end of this year. This allowed more people to access the cheaper upgrade price.

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