Posted by: Christopher Meinck
on May 27, 2009
Mike Abramsky, an analyst for RBC Capital, believes that Apple could offer a $99 iPhone if the company is able to leverage its component and manufacturing effeciencies. This is not the first time we've heard of a $99 price point and would certainly help fight potential upstarts like the Palm Pre.
Abramsky believes Apple will use WWDC to announce the 16GB and 32GB next generation iPhone models that have been widely rumored. Previous reports have these models priced at $199 and $299, so perhaps the company will continue sales of the iPhone 3G, but at a reduced price? No surprise, but Abramsky says that demand will increase if Apple is able to hit the $99 price point.
Posted by: Christopher Meinck
on Feb 10, 2009
According to RBC analyst Mark Abramsky, Apple will begin selling a $99 iPhone (after subsidy) this summer. Abramsky made these statements based upon "checks". His research note follows:
- The main cost reductions would come from fewer features -- not a crappy 'iPhone nano' or something without a multi-touch screen. Abramsky thinks it might have a lower-resolution camera, no 3G Internet access or GPS, and a cheaper data plan (~$15/month) with a usage cap. We agree that lowering the monthly bill would help drive iPhone sales, but carriers won't be thrilled.
- Meanwhile, the iPhone 3G will get feature upgrades, such as a better camera, video capabilities. (See chart below.)
- He thinks Apple could sell 20-30 million of these cheaper iPhones in fiscal 2010, boosting Apple's smartphone market share to almost 20%.
- Cheaper iPhone will eat into iPhone 3G and iPod sales. And a lower subsidy and lower margins means Apple will have to sell three times as many to make the same gross profit from one iPhone 3G. He expects fiscal 2010 iPhone gross margins to shrink to 35%-37% from 50%+.
Posted by: Christopher Meinck
on Dec 29, 2008
As of now, there is no credible evidence that Apple is releasing the iPhone Nano in January, or possibly ever. Yet, some case manufacturers have placed images of iPhone Nano cases on their websites and some even offer the ability to buy a case for the yet-to-be announced or released iPhone Nano. For those who took them up on the offer, I've got a bridge in Brooklyn that might be of interest.
Even credible manufacturers like Vaja are getting in the act, allowing visitors to sign up for news related to the iPhone Nano. Perhaps they are just victims of the hype and someone said, "we'd better get information on our site". These companies have zero to lose. If the gamble pays off and Apple does announce an iPhone Nano next week, they have already built up a significant head start from an awareness perspective. When next week comes to pass and the iPhone Nano is not announced, they've lost nothing, save for a shred of credibility when it comes to the next rumor. Even though we'll all be lining up publish the next iPhone rumor based on a flimsy piece of silicon. Macworld cannot come soon enough.
Posted by: Christopher Meinck
on Dec 15, 2008
MacWorld starts on January 5th, 2009 and Apple typically uses the big stage to announce new products. Today we officially start the rumor mill, with iDealsChina claiming to have information regarding a so-called iPhone nano. The case manufacturer has had a spotty track record, but did provide images of a Griffn case mold for the iPhone 3G before it was announced. Information regarding the iPhone nano comes with a rendering of a skin case designed for yet unannounced iPhone.
