or Connect
AppleInsider › Forums › General › General Discussion › Apple to announce 'iPhone 5S' in June alongside low-cost fiberglass and plastic handset, analyst says
New Posts  All Forums:Forum Nav:

Apple to announce 'iPhone 5S' in June alongside low-cost fiberglass and plastic handset, analyst...

post #1 of 52
Thread Starter 
Analyst Ming-Chi Kuo of KGI Securities, who has a notable track record in predicting Apple hardware launches, forecasts the Cupertino company will announce a successor to the iPhone 5 alongside a low-cost handset model in June ahead of a rollout in July.

Reiterating his earlier predictions, the well-connected analyst believes Apple will introduce two distinct iPhone models, a flagship iPhone 5S and less expensive version made out of fiberglass and plastic. Beyond housing materials, the two handsets will be further differentiated by the use of high-tech internals.

iPhone 2013
Source: KGI Securities


Kuo predicts that the iPhone 5S will leverage a number of next-generation Apple technologies, including a faster A7 SoC, a "Smart Flash" that uses white or yellow LEDs to ensure high-quality photos, and a fingerprint security chip sourced from the company's acquisition of AuthenTec. The 5S will recycle the same thin aluminum chassis seen on the iPhone 5, but may include a slightly larger 1600mAh battery.

As for the low-cost model, Kuo thinks that the unit will be slightly heavier than its aluminum-bodied counterpart, and will possibly see a hybrid casing made out of fiberglass and plastic. LTE data will come standard on the device, as the cost of such a radio chipset is negligible and can only serve to enhance user experience as Apple integrates more heavily with iCloud. Because the handset is likely to be more expensive than other mid-tier smartphones, the lack of LTE support would make it difficult to negotiate subsidies with mobile carriers. Kuo calculates that subsidies could cover the entire device cost with a two-year contract, making the low-cost iPhone an attractive option for developing smartphone markets like China.

Kuo is one of the first analysts to indicate that Apple will ship FDD-based handsets on a different schedule than TDD iterations, mostly due to the fact that the upcoming iPhones will be the company's first products to use the technology.

Interestingly, Kuo told AppleInsider that Apple is unlikely to use the recently announced Qualcomm RF360 frontside RF chipset, which promises LTE support of all 2G, 3G, 4G LTE and LTE Advanced technologies, including those used by China Mobile.

"RF360's customers are OEMs who have no capability to design RF front end and PA by themselves," he said."RF360's customers are OEMs who have no capability to design RF front end and PA by themselves." - KGI Analyst Ming-Chi Kuo.

Kuo does note, however, that the new iPhone models will for the first time address China Mobile's TDD networks, which cover TD-SCDMA and TD-DLTE, but compatible versions aren't expected until September due to testing and network design processes. As the world's largest carrier by subscribers, China Mobile's TDD iPhone could account for 28 percent of iPhone shipments for the second half of 2013, despite seeing a later launch compared to worldwide LTE versions.

During a recent trip to China, Apple CEO Tim Cook reportedly met with the Chinese telecom, though the meeting's discussions remain confidential.

With component suppliers expected to start mass shipments in May, the two iPhone models could be announced in June ahead of a July rollout. Kuo expects shipments of the iPhone 5S and low-cost iPhone to come in at nearly 40 million units and over 53 million units for the second half of the year, respectively. He notes that Apple doesn't want to repeat last year's delayed iPhone 5 launch, which gave competitors like Samsung room to crowd the market.

Broken down by quarter, the flagship iPhone 5S will ship more than 14 million and 21.5 million units over the third and fourth quarters, while the less expensive iteration will move above 19 million and 34 million units during the same period. Added to Apple's existing iPhone lineup, overall shipments are forecast to rise 83 percent from the first half of 2013 to reach 110 million units.
post #2 of 52

How credible is this analyst. History?

post #3 of 52
LTE standard! iPhone 5S and the S is for "Special"
post #4 of 52
Ming-Chi Kuo is very credible!
post #5 of 52
Plastic, fiberglass, whatever.. If it happens perhaps the target market is gov, military and corporate. Function and cost over form, right?
post #6 of 52
He correctly predicted G/F2 screens for the iPad mini.
post #7 of 52

finger id is huge step. will be very popular.

post #8 of 52

I hope Apple proves everyone wrong with this whole cheap plastic iPhone crap.  When Cook was asked about a lower cost iPhone at that Goldman Sachs conference he was a bit cagey in his answer which leads me to believe the conventional wisdom (cheaper plastic phone) might be wrong,

post #9 of 52
Nope. This is just more bad news to further bash the stock.
post #10 of 52

Here we go.  The beginning of the so called expert source of what is gonna be the next specs of the next iPhone.  Sounds good but I think I will wait for the real thing.

An Apple man since 1977
Reply
An Apple man since 1977
Reply
post #11 of 52
Sounds like "S" will be for "Secure" if it has a fingerprint scanner built in. And speed of course 1smile.gif To be honest, this guy at least sounds like he knows what he's doing.
post #12 of 52
A fiberglass phone?
post #13 of 52
Quote:
Originally Posted by AKaplan123 View Post

How credible is this analyst. History?

 

He laid out Apple's timeline of releases last year and was spot on from the ipad to ipad mini to iPhone, iMacs and iPods.  He's very credible. Much more so than almost any other. 

 

I am due an upgrade on my daughter's and wife's iPhones in August...so close but so far from July ;-)

post #14 of 52
I'm skeptical that Apple would make a new iPhone the main distinction of which will be that it will be a cheaper iPhone, made with cheaper materials and only somewhat less capable. What would I then be paying a substantial premium for with the 5s? Anodized aluminum? A faster processor? I, like most all consumers, could care less if it has a faster processor. This scenario just doesn't sound like Apple at all, unless the death of Steve Jobs really has caused it to lose its way (which is highly doubtful). I would be surprised if they didn't distinguish this less expensive iPhone more clearly, such as making it a mini-iPhone, perhaps even using the same form factor as the iPod Nano. Add the iPhone Plus and you'd have a dazzling array of iOS devices in all shapes and colors: 2.5" iPhone Mini, 4" iPhone, 4.94" iPhone Plus, 7.9" iPad Mini, 9.7" iPad, and perhaps even an 11.2" iPad Maxi.
post #15 of 52

Welcome.

 

Originally Posted by empyreal View Post
Add the iPhone Plus and you'd have a dazzling array of iOS devices in all shapes and colors: 2.5" iPhone Mini, 4" iPhone, 4.94" iPhone Plus, 7.9" iPad Mini, 9.7" iPad, and perhaps even an 11.2" iPad Maxi.

 

Dazzling must mean something different these days. 1tongue.gif

 

I'd prefer a 13" iPad, I think.

Originally posted by Relic

...those little naked weirdos are going to get me investigated.
Reply

Originally posted by Relic

...those little naked weirdos are going to get me investigated.
Reply
post #16 of 52
Oh look. Ming-Chi Kuo can regurgitate rumors he's heard like the best of them. That's normal. Leave it to AppleInsider to amplify the noise by giving each repeat of the same rumor its own article. Hopefully, that'll convince the easily impressed that the rumor has gravitas.

"Apple should pull the plug on the iPhone."

John C. Dvorak, 2007
Reply

"Apple should pull the plug on the iPhone."

John C. Dvorak, 2007
Reply
post #17 of 52
I almost wish this were true. It would be interesting to see how Wall Street uses the release of a lower cost phone to hammer Apple's stock even lower. Anyone want to take a guess on which one would win?

1. Apple suffers margin compression from lower cost phone.
2. Apple has to introduce lower cost phone because sales of high end phones are failing to meet {inflated} expectations.
3. Apple's $299 phone isn't cheap enough. They need to sell one for $99.95.
4. Sure, it's low cost, but it's not as good as the iPhone 5S, so it's doomed to fail.
"I'm way over my head when it comes to technical issues like this"
Gatorguy 5/31/13
Reply
"I'm way over my head when it comes to technical issues like this"
Gatorguy 5/31/13
Reply
post #18 of 52
Quote:
Originally Posted by Suddenly Newton View Post

Oh look. Ming-Chi Kuo can regurgitate rumors he's heard like the best of them. That's normal. Leave it to AppleInsider to amplify the noise by giving each repeat of the same rumor its own article. Hopefully, that'll convince the easily impressed that the rumor has gravitas.

 

He has credibility. 

 

http://appleinsider.com/articles/12/08/31/iphone_5_ipad_mini_among_8_new_apple_products_coming_before_end_of_2012.html

post #19 of 52
Quote:
Originally Posted by Rogifan View Post

I hope Apple proves everyone wrong with this whole cheap plastic iPhone crap.  When Cook was asked about a lower cost iPhone at that Goldman Sachs conference he was a bit cagey in his answer which leads me to believe the conventional wisdom (cheaper plastic phone) might be wrong,

Apple does have a patent for a special mfg process involving carbon fiber.  I'm not suggesting that this will be the chosen material, but it's possible.  Apple has also been working with Liquid Metal for a long time and I'm wondering when that material is going to rear it's head, if ever. Polycarbonate is a likely material if they decide to make a lower priced model, because of mfg costs.  I personally hope they come out with a larger screen ala 4.5 inch.  That's about the biggest I would probably use.  I don't know if I would use anything much larger than that.

post #20 of 52
Quote:

I'd prefer a 13" iPad, I think.

 

13" would be great. It would need to be 2048x1536 display in order to display apps correctly, so the bigger you go the less sharp it will look. And if it were 13" then why not make it an iOS/OSX hybrid? Add a magnetically attachable keyboard and get rid of the Air. Perhaps that's where things are headed. 

post #21 of 52
Originally Posted by empyreal View Post
Add a magnetically attachable keyboard and get rid of the Air. Perhaps that's where things are headed. 

 

The Surface tells us it isn't. lol.gif

Originally posted by Relic

...those little naked weirdos are going to get me investigated.
Reply

Originally posted by Relic

...those little naked weirdos are going to get me investigated.
Reply
post #22 of 52
Quote:
Originally Posted by drblank View Post
Apple has also been working with Liquid Metal for a long time and I'm wondering when that material is going to rear it's head, if ever. 

 

iPhone 3G, Sim card ejector, that's liquid metal. But if you mean that an entire product or entire outer shell has not yet been made from the material and used in a product, then that would be correct.

 

The inventor of liquid metal said in 2012 that Apple was still years away from using it in mass production in large products.

post #23 of 52
Quote:
Originally Posted by Tallest Skil View Post

 

The Surface tells us it isn't. lol.gif

And the dancing morons don't seem to be helping it much either. I really can't stand those commercials. 

post #24 of 52
Quote:
Originally Posted by drblank View Post

Apple does have a patent for a special mfg process involving carbon fiber.  I'm not suggesting that this will be the chosen material, but it's possible.  Apple has also been working with Liquid Metal for a long time and I'm wondering when that material is going to rear it's head, if ever. Polycarbonate is a likely material if they decide to make a lower priced model, because of mfg costs.  I personally hope they come out with a larger screen ala 4.5 inch.  That's about the biggest I would probably use.  I don't know if I would use anything much larger than that.

I guess I was thinking it might be something different than just a cheap iPhone.  Or at least I'd like it to be something not so obvious, and something that wouldn't be easy fodder for the "analysts" to say Apple should have done a year earlier.  Apple didn't move to plastic to make a cheaper iPad so why would they have to do that with a phone?  And is manufacturing a phone out of plastic that much cheaper than using aluminum or something else?

post #25 of 52

Remember the whole thing with the iPhone 5 where they had to make 725 different inlays of glass for the iPhone5 to fit exactly into the metal casing? 

The chamfered edge that became so fussy to no ding during assembly?

 

http://www.apple.com/iphone/design/

 

They don't have to go bargain-basement, they just need a model that isn't trying to be phone-jewelry.

 

The hardest part about the two models will differentiating them as unique value propositions, not "the fancy one" and "the cheap one". That's more about product strategy though, not manufacturing ability. 

post #26 of 52
Quote:
Originally Posted by jragosta View Post

I almost wish this were true. It would be interesting to see how Wall Street uses the release of a lower cost phone to hammer Apple's stock even lower. Anyone want to take a guess on which one would win?

1. Apple suffers margin compression from lower cost phone.
2. Apple has to introduce lower cost phone because sales of high end phones are failing to meet {inflated} expectations.
3. Apple's $299 phone isn't cheap enough. They need to sell one for $99.95.
4. Sure, it's low cost, but it's not as good as the iPhone 5S, so it's doomed to fail.

Ha! Yeah you've got it pretty well covered. Probably still a couple you've missed. 1wink.gif

post #27 of 52
Quote:
Originally Posted by RoyaleWitCheez1 View Post

LTE standard! iPhone 5S and the S is for "Special"

 

If all those rumors surrounding the Galaxy S4 turn out to be true, with unlock via facial recognition and smart scrolling controlled by eye movement, the S is going to be for "Stagnant" as in what the iPhone has become with each revision. Maybe I'm greedy, but I miss the days when the iPhone was the trailblazer, and everyone else played catchup. Judging by recent stock behavior, apparently the investors agree with that feeling. I really hope Tim has something more than an S up his sleeve this summer, both as a consumer and a shareholder.

post #28 of 52
Originally Posted by Cash907 View Post
If all those rumors surrounding the Galaxy S4 turn out to be true, with unlock via facial recognition and smart scrolling controlled by eye movement, the S is going to be for "Stagnant" as in what the iPhone has become with each revision.

 

S stands for "Doesn't put useless gimmicks in a flagship device". 

Originally posted by Relic

...those little naked weirdos are going to get me investigated.
Reply

Originally posted by Relic

...those little naked weirdos are going to get me investigated.
Reply
post #29 of 52
Quote:
Originally Posted by AppleInsider View Post
Kuo calculates that subsidies could cover the entire device cost with a two-year contract, making the low-cost iPhone

 

 

I thought the iPhone 4 was already FREE with 2-year contract? If the 4 *is* free with contract, why can't the 4s be free when the 5s is out? Why does it need to go plastic? 

 

I say they move the 4s as free with contract. 

 

Not saying it never happened, but I don't remember when Apple make a current product change to lower quality materials? 

post #30 of 52
Quote:
Originally Posted by Cash907 View Post

 

If all those rumors surrounding the Galaxy S4 turn out to be true, with unlock via facial recognition and smart scrolling controlled by eye movement, the S is going to be for "Stagnant" as in what the iPhone has become with each revision. Maybe I'm greedy, but I miss the days when the iPhone was the trailblazer, and everyone else played catchup. Judging by recent stock behavior, apparently the investors agree with that feeling. I really hope Tim has something more than an S up his sleeve this summer, both as a consumer and a shareholder.

 

Maybe you should you can stop for a second and consider if these "features" are actually useful and reliable for the average consumer,  instead of mindlessly desiring flashy buletpoints. Scroll with eye-movement? Really? My eyes dart all over the place when using my iPhone, I sure as **** wouldn't want that.Remember all the hype about the S3 monitoring your eyes? Not a single person I know who owns the phone uses, or even knows about the feature. It's epically useless. Unlocking via facial recognition? Sure, if implemented correctly, but again, I know a few people who have the Nexus 4, who used it a few times a gimmick, then never again, because its unreliable. Unlike you, I don't want Apple to make product decisions based on appeasing the stock. The day they do that, they're doomed. Analysts/investors have shown repeatedly they're utterly clueless about what makes a good product, and what the right strategy is going forward, so I couldn't give 2 shits about what they want Apple to do. I'm an investor, but I have enough humility to aknowledge that the people working at Apple are much smarter than me, and more insightful as to making decisions in this space. The iPhone is still a trailblazer in all the things that actually matter: Reliability, stability, build quality, ecosystem, responsiveness, screen quality, app quality/quantity, support, etc. Do Samsung phones have poorly implemented, barely used gimmicks simply for the sake of marketing? Sure. Does that mean they're 'trailbalzers'? No, it doesn't. 

post #31 of 52
This...again...ugh!
post #32 of 52
I think he is too bearish on his iPhone estimates.
post #33 of 52

" It should be noted that AppleInsider is unable to vouch for the veracity of the analysts statements and offers the following information for purposes of discussion only."

lol

tftfy

post #34 of 52

Is this going to be 4.8 inch or 5 inch?

 

if not, apple might lose people to Samsung. It you ever go to an AT&T store, hold a 4.8 inch phone in yr hand, you know whtat I mean.

 

strange, such an obvious thing takes apple forever to understand!! Apple loses in screen size. Average people won't pay too much attention to finger print login or speed... Screen size is it!!

Also Samsung can plug in sd cards.

 Apple is purely arrogant , if not slow. Their product managers should be sacked.

post #35 of 52
Quote:
Originally Posted by Lw9957 View Post

Is this going to be 4.8 inch or 5 inch?

 

if not, apple might lose people to Samsung. It you ever go to an AT&T store, hold a 4.8 inch phone in yr hand, you know whtat I mean.

 

strange, such an obvious thing takes apple forever to understand!! Apple loses in screen size. Average people won't pay too much attention to finger print login or speed... Screen size is it!!

Also Samsung can plug in sd cards.

 Apple is purely arrogant , if not slow. Their product managers should be sacked.

 

Just once, I'd like to read an intelligent introductory post, rather than this shit. I like how you manage to conflate screensizes, and SD cards with arrogance. I'm pretty sure Apple's manager are infinitely smarter than you'll ever hope to be, as they've contributed to making Apple the most successful company on the planet, sd card or not. Also, almost 50 million iPhones were sold last quarter, which means there's a shitload of people who don't want a 5 inch phone. Go sack yourself before you get hurt. 

post #36 of 52

Apple managers are not infinitely smarter even from the stupidest person in the world. THis is math...

 

THere are plenty of the people wanting just 4" phone, which is fine. But I see those people are not young people any more. Young people tend to use larger screens, because their primary device to access internet has become smartphone in last year. Apple hasn't follow them. Samsung actually introduced the concept, although they didn't act upon smart analytical decision, they just stroke luck and continued.

 

You introduce the product to the market in one version, you lead the market with range. Why have Apple listened with iPad. Finally and with great success. Why is Apple offering 3 notebook lines with 3 (down from 4) screen sizes?

 

iPhone 5 screen size, or even better: the absence of a second version with larger screen is the biggest flop Apple has done since putting Scully on the board. Adding second line to most crucial company's product after 6 year is nothing more than failure. 

post #37 of 52
Quote:
Originally Posted by Richard Getz View Post

I thought the iPhone 4 was already FREE with 2-year contract? If the 4 *is* free with contract, why can't the 4s be free when the 5s is out? Why does it need to go plastic? 

I say they move the 4s as free with contract. 

Not saying it never happened, but I don't remember when Apple make a current product change to lower quality materials? 

Just keep in mind that "free with contract" is not the same as "free". It's not even the same as "low cost".
"I'm way over my head when it comes to technical issues like this"
Gatorguy 5/31/13
Reply
"I'm way over my head when it comes to technical issues like this"
Gatorguy 5/31/13
Reply
post #38 of 52

Seems credible, plausible, and a good and sensible direction for Apple.

 

QED, the market will ignore it and focus on some baseless supply issue rumour and the stock will drop by another 10 points.

censored

Reply

censored

Reply
post #39 of 52

Quote:
Originally Posted by Richard Getz View Post

 

I thought the iPhone 4 was already FREE with 2-year contract? If the 4 *is* free with contract, why can't the 4s be free when the 5s is out? Why does it need to go plastic? 

 

I say they move the 4s as free with contract. 

 

Not saying it never happened, but I don't remember when Apple make a current product change to lower quality materials? 

 

Free with expensive contract and free with cheap contract are different propositions.  And a cheaper phone for the unlocked sim-only or PAYG markets could have a big effect.

censored

Reply

censored

Reply
post #40 of 52
Quote:
Originally Posted by jakeb View Post

A fiberglass phone?

 

 

It might be Kevlar not fiberglass.  Many people say fiberglass as a generic term.  Some of the Motorola Phones use Kevlar and they are

very durable and light weight....

New Posts  All Forums:Forum Nav:
  Return Home
  Back to Forum: General Discussion
AppleInsider › Forums › General › General Discussion › Apple to announce 'iPhone 5S' in June alongside low-cost fiberglass and plastic handset, analyst says