“Taiwan Semiconductor Manufacturing Co (TSMC) raised its forecast for 2016 revenue after setting new profit and sales records in the third quarter, as analysts said it was riding high on supplying parts for Apple Inc’s new iPhone 7,” J.R. Wu reports for Reuters. “The world’s largest contract chipmaker’s bullish forecast comes as anticipation has intensified about how the iPhone 7, launched in early September, has been selling in the wake of Samsung Electronics Co scrapping its Galaxy Note 7 smartphone in what could be one of the costliest product safety failures in tech history.”

“TSMC, which doesn’t disclose details of customer orders, said on Thursday it now expects revenue growth to be 11-12 percent, compared with a previous estimate of a 5-10 percent increase,” Wu reports. “‘Demand for high-end smartphones will continue to improve,’ said co-Chief Executive Officer Mark Liu, speaking at an earnings conference.”

“According to Taiwan-based Fubon Research, TSMC is the sole source for the A10 processor used in the iPhone 7 and also the main foundry source for chips in the smartphone,” Wu reports. “Based on an estimated shipment of 82 million units of iPhone 7s in the second half of this year, Fubon expects the iPhone 7 business to likely account for at least 10 percent to 15 percent of TSMC’s revenue in the second half of 2016.”

Read more in the full article here.

MacDailyNews Take: iPhone 7 is so “boring” and “disappointing,” huh?

Calendar fourth quarter will set an all-new quarterly iPhone unit sales record. — MacDailyNews, August 8, 2016

iPhone 7 and iPhone 7 Plus will be Apple’s best iPhones ever. And iPhone sales will return to YOY unit sales growth in Apple’s fiscal 2017. — MacDailyNews, September 1, 2016

Once you identify the narrative, you can see it pervade throughout the media like watching dye in the bloodstream. It’s not real. The “iPhone will be boring” narrative may even have been planted by Apple PR (if they were doing their jobs, which we assume they were) in order to “set the bar” at a nice, easy level ahead of time. Under-promise and over-deliver. It all worked rather nicely as it is wont to do. Certainly, beleaguered Samsung’s self-inflicted gunshot to the head was also a nice little added bonus.MacDailyNews, September 19, 2016

Apple’s iPhone 7 poised to set new sales records. How could the media have been so wrong? – September 19, 2016
The ‘iPhone 7 will be disappointing’ meme continues – September 6, 2016
Apple’s ‘boring’ iPhone 7 series set to surprise and delight – July 8, 2016
Why a ‘boring’ iPhone 7 will do just fine – June 22, 2016
Are leaks suggesting iPhone 7 will be ‘boring’ Apple’s attempts at misdirection? – June 17, 2016
Why Apple’s iPhone 7 doesn’t have to be a ‘disappointment’ – May 3, 2016