(Credit:
CNET)
She noted that a lower priced iPhone makes sense for several reasons:
- "iPad Mini is expanding Apple's customer base with 50 [percent] of purchases in China/Brazil representing new customers to the ecosystem."
- "Chinese consumers show a desire to purchase the latest version of iPhone (instead of discounted older generations)."
- "iPhone 4 demand surprised to the upside in the December quarter."
Huberty added that while an iPhone Mini would have lower gross margins and cannibalize other iPhone sales, it would boost revenue and profits.
She noted that new iPhones, including a lower-priced iPhone for emerging markets, could launch this summer, while the
iPad will likely be refreshed by mid-year. Many reports in recent weeks have pegged an iPhone Mini launch to the summer timeframe.
Huberty also expects new carrier partnerships including NTT Docomo, T-Mobile, and China Mobile in the second half of the year or 2014.
Speculation has been building that Apple will soon release a cheaper iPhone. While it continues to sell many models of its newest iPhone, many customers have been opting for the older, discounted generations. And as smartphones sales growth slows in the U.S. and other mature markets (because almost everyone has a phone), emerging markets will become even more key to future sales. A lower priced phone would help Apple sell more devices in places like China, where few people can afford to buy its priciest gadgets.
iPhone Mini launch this summer makes sense, analyst says
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iPhone Mini launch this summer makes sense, analyst says
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iPhone Mini launch this summer makes sense, analyst says