“Demand for the iPhone 5 remains strong as supply and yields continue to improve, but total iPad sales for the holiday quarter may prove lower than market watchers expect, as the iPad mini cannibalizes sales of the new fourth-generation iPad,” Neil Hughes reports for AppleInsider.

Analyst Shaw Wu of Sterne Agee “has increased his iPhone forecast to 47.5 million for the holiday quarter, up from a previous prediction of 47.3 million,” Hughes reports. “As for the iPad, Wu has reduced his projected sales from 25 million to 23.5 million.”

Hughes reports, “Wu has cut his iPad sales projection because of continued constraints on iPad mini supply, and lower build orders for the fourth-generation iPad. Sales of the full-size 9.7-inch iPad may be slower than expected, Wu said, because of some cannibalization from the smaller and less expensive iPad mini.”

Read more in the full article here.