CEO Tim Cook has expressed deep concern regarding these supply chain issues, which are critical as the company approaches the launch.

Grace Fabric Technology, Apple's primary supplier of low-CTE fiberglass, is one of only two companies capable of mass-producing this material.

Delays in securing this fiberglass could have cascading effects on Apple's production schedule, marketing plans, and overall costs.

The iPhone 17 launch is particularly significant as it represents a new design language for Apple, moving away from the incremental updates seen in recent years.

To mitigate the impact of these supply chain challenges, Apple may consider scaling back launch volumes, delaying specific models, or increasing prices.

Apple is grappling with significant supply chain disruptions ahead of the anticipated launch of the iPhone 17 series, primarily due to a shortage of low thermal expansion coefficient (low-CTE) fiberglass cloth.

The iPhone 17 series is scheduled to be unveiled in early September 2025, with preorders commencing shortly after and a release planned for the following week.

In response to market demands, Apple plans to introduce the iPhone 17 Air, a slimmer, design-focused alternative to the iPhone Plus, while discontinuing the iPhone 17 Plus.

However, increased demand for certain iPhone 17 models, combined with supply constraints, may result in unexpected shipping delays for specific versions.

The low-CTE fiberglass cloth is essential for managing heat in the phone's chassis, making it a crucial component for the iPhone 17.

Despite the manufacturing challenges, it is unlikely that Apple will delay the official launch of any iPhone 17 models, potentially leading to faster sellouts.

Production costs for the iPhone 17 have risen, but it remains uncertain whether Apple will absorb these costs or pass them on to consumers.