Customers try out the new iPhone Duo at a Apple Store in Shanghai on October 25, 2026. Photo: VCG

US technology giant Apple reported on Monday that sales revenue in the Greater China region rose 21 percent year-on-year in the September quarter but fell more than $1 billion short of estimates - results that came as its new iPhone Duo faces mounting user complaints. A Chinese industry analyst said China will remain a key market for Apple, noting that continued refinement of its ecosystem, closer adaptation of its products and services to local needs, and a sharper AI strategy could help lift its performance there to new highs.

Apple's latest earnings report, its first since John Ternus took over as CEO, drew considerable attention. Apple's revenue in the Greater China region rose 21.02 percent year-on-year to reach $17.54 billion, according to the company's financial results for the quarter ended September 26. "That was more than $1 billion short of estimates," Bloomberg reported.

The growth rate in the Greater China region was "a quarterly record," primarily driven by iPhone and Mac, CEO Ternus said on a conference call on Monday.

"Taking a step back, Greater China was up 28 percent for the full year. Tim and Sabih were just in China meeting with customers and developers and partners, and it has been wonderful to see the customer reaction to our latest lineup of products, including iPhone Duo," he said, adding that the installed base of active devices has reached an all-time high, and Apple had a record year for iPhone upgraders in the Chinese mainland.

"Apple's double-digit growth in China underscores the importance of the huge Chinese market. The iPhone 18 series has also performed well in China since its launch amid strong competition from Chinese local brands including Huawei and Xiaomi," Beijing-based technology industry analyst Liu Dingding told the Global Times on Monday.

The results came as two major additions to Apple's product lineup - the iPhone 18 Pro series and its first foldable model, the iPhone Duo - have triggered complaints as users widely reported stiff hinges, cracks along the fold of the inner screen, and display problems within days of the iPhone Duo's launch.

Apple has sought to resolve the issue by promising to affected customers for a free replacement.

China will continue to be a key market for Apple and it would be important for Apple to keep refining its approach there - including improving its ecosystem, adapting its products and services to local needs, and refining its AI strategy. That would put its China performance on track to reach new highs, Liu said.

Global sales of the iPhone 18 Pro and Pro Max during their first three weeks on sale were 3.1 percent higher than those of the iPhone 17 Pro series during the equivalent post-launch period last year, according to Counterpoint Research's Smartphone Weekly Sales Tracker.

The Chinese market posted the strongest growth, with sales rising 29 percent year-on-year. This was driven by better early supply compared with last year and by price increases on competing flagship models from Chinese Android OEMs. Excluding China's contribution, the global sales growth rate would have been far weaker. Sales in the US and Japan declined year-on-year, affected by the new model's higher prices compared with their predecessors, according to the survey.