Despite some analysts claiming that the iPhone X hype train was a bit over the top, it appears that Apple’s next-gen iPhone is, in fact, going to be a smash hit. When pre-orders went live earlier today, it only took a few minutes for the iPhone X to sell out. And now comes word that demand for the iPhone X is incredibly strong.

In a statement provided to CNET earlier today, an Apple spokeswoman said: “We can see from the initial response, customer demand is off the charts.” That said, it’s entirely possible that the iPhone X will help Apple set a new iPhone sales record in 2018. Indeed, a Morgan Stanley research report from earlier in the week argued that Apple in 2018 could sell 262 million iPhones, a solid increase from the current record of 231 million units Apple achieved in 2015.

The impressive demand for the iPhone X comes at a crucial time for Apple, especially amidst reports that demand for the company’s iPhone 8 models have been somewhat lukewarm. Of course, slow iPhone 8 sales could very well be explained by the hype and excitement surrounding the iPhone X. Despite some controversy regarding the device’s controversial notch, not to mention the untested Face ID feature, it appears that iPhone owners are eager for a fresh new design. And in that respect, the iPhone X delivers in a major way.

Featuring an edge to edge display, the iPhone X marks the first major redesign of the iPhone form factor since 2014s iPhone 6. And even though the iPhone X is easily the priciest iPhone Apple has ever released, early indications are that customers are more than happy to pay a premium for the most technologically advanced iPhone we’ve seen yet. In fact, this dynamic isn’t even all that surprising given that Apple’s entire business model has long rested on selling premium products at a premium price.

Lastly, investors seem to be responding favorably to news of strong iPhone pre-orders, with shares of Apple up more than four points in early morning trading.

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