Neil Hughes
With Apple expected to launch three new iPhone models next year, a new report suggests the company could slash prices on the 4.7- and 5.5-inch models with legacy LCD technology, allowing them to appeal to a new segment of consumers.
Aligning with numerous other reports, analyst Ming-Chi Kuo of KGI Securities believes Apple will unveil a flagship, redesigned OLED iPhone next year, accompanied by two LCD models at the same size as the current iPhone 7 and iPhone 7 Plus.
But Kuo believes that the 4.7-inch 2017 model, in particular, could become a new mid-range or even low-end model for Apple. If Apple does lower the selling price of its models with LCD screens, he sees the so-called "iPhone 7s" accounting for between 30 and 35 percent of new-model iPhone shipments in fiscal year 2017.
Most sales, he suspects, will go to the OLED "iPhone 8," predicted to account for between 50 and 55 percent of shipments of new models next year. With a new bezel-less design hiding key components — such as the earpiece and Touch ID fingerprint sensor — underneath a screen sized between 5.1 and 5.2 inches, the OLED iPhone is expected to be a radically redesigned handset celebrating the 10th anniversary of Apple's iconic smartphone.
And though he said prices may also be lowered accordingly for the jumbo-sized 5.5-inch "iPhone 7s Plus," the phablet-style product could find itself in an "awkward position" between the 4.7-inch and OLED models, he believes. Currently, the iPhone 7 Plus carries a $120 premium over the iPhone 7.
In all, Kuo is extremely bullish about Apple's 2017 iPhone lineup, expected to launch in the latter half of the year. He expects shipments of new models will balloon to between 90 million and 110 million, up from an estimate 75 million in 2016.
Supply chain sources indicated to Kuo that Foxconn will be the primary manufacturer of the new OLED iPhone, while Pegatron is believed to become the exclusive supplier of the 4.7-inch LCD model. A large chunk of manufacturing of the 5.5-inch "iPhone 7s" is expected to fall to Wistron, but Kuo believes that model will only account for between 10 and 15 percent of new iPhone shipments next year.
The latest indications suggest that OLED production may not be as constrained as was previously feared. Recently, numerous reports suggested that limited availability of OLED displays could limit production of the new flagship iPhone in 2017.
Last week, Kuo indicated that both the 5.5-inch "iPhone 7s Plus" and slightly smaller OLED "iPhone 8" will feature dual-camera systems. But it is not expected that the 2017 4.7-inch "iPhone 7s" will gain a second camera, as was introduced on the iPhone 7 Plus.
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So, iphone SE low end, 4,7" mid, 5.2 and 5.5 upper end. Sounds good but proper tiered pricing will be a challenge. .
Can't see how Apple could gut their margins on the upcoming 2017 iP7S & iP7S Plus just to greater differentiate tiered pricing across the iPhone lineup. I'm sure the 10th anniversary iPhone will have a pricing premium higher than what we are currently paying for the 2016 iP7 Plus. Also, if Apple sticks with their familiar nomenclature, that is, the 2017 upgraded 7 series chassis would be called iP7S, there's little chance Apple would simultaneously release an iPhone dubbed iP8. That would be just bizarre. If Apple release a special 10th anniversary edition, on top of their regularly scheduled iP7S, the fancy new model would most likely get the name SE, not 8. If that's the case, than any iPhone with the SE designation would never get an upgrade cycle. Just a special one-off edition, helping Apple more quickly innovate on their legacy iPhone. Kind of like how automotive companies field racing divisions, not just for public exposure, but to have the avant-garde technology trickle down into their pedestrian cars. It's rather obvious to speculate that Apple learned a lot from shoehorning an iP6S into a 5 series chassis for the out-going SE.
Ok, now I see how this could work. They'd be following the recent Apple Watch model.
2015: Original Apple watch released
2016: Original Apple watch gets spec upgrades, renamed Series 1, New Apple watch gets named Series 2
I am so sick of the smaller iPhone being treated like a second class citizen!!! I simply do not want a Phablet in my pocket!!! But yet I want all the technology available (don't care about the dual lens camera). I have owned every iPhone since the 3 and get a new one every year...why can't we (the people that like that form factor) get all the latest goodies too?
How old is the SE? When do you expect Apple to upgrade it?