or Connect
AppleInsider › Forums › Mobile › iPhone › Morgan Stanley: Apple on track to build multiple new iPhone models in June-July
New Posts  All Forums:Forum Nav:

Morgan Stanley: Apple on track to build multiple new iPhone models in June-July

post #1 of 34
Thread Starter 
On a recent trip to visit with tech suppliers in Asia, Morgan Stanley's Katy Huberty received word that multiple new iPhone models will begin production the June-July timeframe.

Apple's new handsets are likely to launch around September, the analyst believes, based on her meetings in Hong Kong and Taiwan. The information aligns with a separate report published on Tuesday that claimed Sharp would begin mass production of so-called "iPhone 5S" LCD displays in June.

iPhone 5


In addition to the anticipated iPhone 5 successor, Apple is also rumored to be working on a new low-end iPhone that would be targeted at customers who are not interested in carrier contract subsidies. Huberty's note provided to AppleInsider on Wednesday suggested that Apple could achieve strong sales of a low-end iPhone in China, even if the device were sold for above the market "sweet spot" of about $160 U.S.

As for Apple's current iPhone lineup, Huberty received word that iPhone 5 shipments are now in line with expectations. That's a change from months ago, when supply chain sources were claiming of reduced orders of the iPhone 5, and Apple Chief Executive Tim Cook even publicly said it was a mistake to attempt to decipher supply chain data.

"After a slow start, iPhone 5, is now on track to meet carrier volume expectations and iPhone 4 price cuts could stimulate incremental demand near-term," Huberty wrote. "Carriers see the opportunity for Apple to expand market coverage with 5-inch and lower-priced iPhones over time. TD-LTE licenses, and related phone launches, are expected by year-end."

Morgan Stanley has advised investors with an "overweight" rating for AAPL stock, and a price target of $540.
post #2 of 34
So, anal-lyst have decided once again that AAPL is low enough to earn loads of money again...
post #3 of 34
why would anyone believe her she has a completely Honorable track record
post #4 of 34
Sorry I have a hard time believing Apple suppliers would leak product plans to Wall Street analysts. Didn't we get similar supply chain reports earlier this year claiming we'd have new iPads this spring? IIRC didn't we see leaked photos of what was rumored to be the 5th gen iPad case?

I wish Apple sites would quit publishing this stuff. I know it drives page views but this isn't news. And these people don't have inside information. They just want their clients to think they do.
post #5 of 34

ROFL, thanks for confirming what Cook said two weeks ago.  Last time I checked September was part of the fall.  Must be a slow news day.

post #6 of 34
Quote:
Originally Posted by Rogifan View Post

Sorry I have a hard time believing Apple suppliers would leak product plans to Wall Street analysts. Didn't we get similar supply chain reports earlier this year claiming we'd have new iPads this spring? IIRC didn't we see leaked photos of what was rumored to be the 5th gen iPad case?

I wish Apple sites would quit publishing this stuff. I know it drives page views but this isn't news. And these people don't have inside information. They just want their clients to think they do.

 

I don't remember the rumors (if any) about new iPads in spring, but that wouldn't have made sense to begin with. iPad 4 & iPad Mini in October, followed 6 months later by some new iPads seem illogical to me. This report passes the sanity check at least. iPhones are usually released in September, so a build up in June - July would make sense.

 

The nature of rumor sites are to report... rumors. There are good Apple news sites that concentrate on news only. 

post #7 of 34
They are right

iPhone 4S
iPhone 5
iPhone 5S

😉
post #8 of 34
Ugh. Apple will not sell a phone for less than $300 off contract. Apple doesn't do cheap.

I like how demand outweighing supply was considered a "slow start".
post #9 of 34
Quote:
Originally Posted by jungmark View Post

Ugh. Apple will not sell a phone for less than $300 off contract. Apple doesn't do cheap.

I like how demand outweighing supply was considered a "slow start".

 

Under $300 would surprise me, too. Heck, even Google sold the Galaxy Nexus direct for $399 and the Nexus 4 (with half the memory) for $299. Apple's unlikely to sell an 8gb phone (like the base Nexus 4), so I would guess no lower than $399 for an off-contract new device.

post #10 of 34
Quote:
Sharp would begin mass production of so-called "iPhone 5S" LCD displays in June.

Why would the 5S need new displays?

post #11 of 34
Huberty absolutely did NOT say there would be "multiple new iPhone models", she said that iPhone 4 price cuts are expected to stimulate demand.

Disclosure, I work at Morgan Stanley.

Do not overrate what you have received, nor envy others.
15" Matte MacBook Pro: 2.66Ghz i7, 8GB RAM, GT330m 512MB, 512GB SSD

iPhone 5 Black 32GB

iPad 3rd Generation, 32GB

Mac Mini Core2Duo 2.26ghz,...

Reply

Do not overrate what you have received, nor envy others.
15" Matte MacBook Pro: 2.66Ghz i7, 8GB RAM, GT330m 512MB, 512GB SSD

iPhone 5 Black 32GB

iPad 3rd Generation, 32GB

Mac Mini Core2Duo 2.26ghz,...

Reply
post #12 of 34
Quote:
Originally Posted by Michael Mangold View Post

Why would the 5S need new displays?


It doesn't necessarily, but the supplier is new.

Do not overrate what you have received, nor envy others.
15" Matte MacBook Pro: 2.66Ghz i7, 8GB RAM, GT330m 512MB, 512GB SSD

iPhone 5 Black 32GB

iPad 3rd Generation, 32GB

Mac Mini Core2Duo 2.26ghz,...

Reply

Do not overrate what you have received, nor envy others.
15" Matte MacBook Pro: 2.66Ghz i7, 8GB RAM, GT330m 512MB, 512GB SSD

iPhone 5 Black 32GB

iPad 3rd Generation, 32GB

Mac Mini Core2Duo 2.26ghz,...

Reply
post #13 of 34
Quote:
Originally Posted by zoffdino View Post

I don't remember the rumors (if any) about new iPads in spring, but that wouldn't have made sense to begin with. iPad 4 & iPad Mini in October, followed 6 months later by some new iPads seem illogical to me. This report passes the sanity check at least. iPhones are usually released in September, so a build up in June - July would make sense.

The nature of rumor sites are to report... rumors. There are good Apple news sites that concentrate on news only. 
Yeah but these aren't really rumors. These are just guesses on the part of Wall Street analysts that need to feed something to their clients. All they do is throw in the obligatory supply chain check comment to make it sound more legit.
post #14 of 34
Quote:
Originally Posted by Michael Mangold View Post

Why would the 5S need new displays?

T'would be great if this was IGZO's time to appear.

IGZO ex machina.
post #15 of 34
When iphone 5s launch ?
post #16 of 34
Quote:
Originally Posted by Michael Mangold View Post

Why would the 5S need new displays?

 

Lower power consumptions for starters.  I am hoping for IGZO at last.

 

On another subject I saw rumors of a complete Apple TV software revamp at the WWDC. Anyone else ears about this?

post #17 of 34
Quote:
Originally Posted by Zoolook View Post

Huberty absolutely did NOT say there would be "multiple new iPhone models", she said that iPhone 4 price cuts are expected to stimulate demand.

Disclosure, I work at Morgan Stanley.


Isn't it virtually free right now? How much more can you cut a price of $0.99?

post #18 of 34
Quote:
Originally Posted by ankleskater View Post


Isn't it virtually free right now? How much more can you cut a price of $0.99?

$399 without having to pay inflated monthly rates to make up for the $600 carrier subsidy you're also paying for, would be much cheaper than your $0.99. Or did you really think you were getting an iPhone for $0.99

post #19 of 34
Quote:
Originally Posted by herbapou View Post

Lower power consumptions for starters.  I am hoping for IGZO at last.

On another subject I saw rumors of a complete Apple TV software revamp at the WWDC. Anyone else ears about this?
Careful about saying anything about the Apple TV software revamp. I posted a comment on here about that when the logo/announcement for WWDC was announced, and how I thought that was a possibility, and I was basically laughed at and called an idiot for thinking so...by a moderator.
post #20 of 34
Everybody's loving on the Apple again it seems...
post #21 of 34
Quote:
Originally Posted by gwmac View Post

One of the biggest complaints about the iPhone earnings is due to them only releasing one model a year that the sales drop precipitously the last 2 quarters prior to a new model release. If Apple ever decided to have multiple models I can see them releasing an iPhone 5S alongside a cheaper model at the same time. But for a larger screen and pricier model I would think that would make more sense to space that about 6 months apart to keep some excitement the whole year. 

A larger 4.8" iPhone example would make a bigger splash if released on it's own in the Spring while the standard and possibly a cheaper model would be released in the Autumn. This is not unlike what they used to do with the iPad. A larger iPhone release 6 months later would also likely get the next generation CPU first as an incentive to pay a higher price and also to keep them competitive with Android phones that tend to release in the Spring. The larger display would allow for more space for a CPU that might need more time to be shrunk down and optimized more for the smaller standard iPhone. 

Two big iPhone releases a year spaced apart by 6 months would keep the excitement and interest level up year round. Standard sized and a separate more affordable version around September followed by a larger and more expensive version around April/May. Releasing a  large iPhone right around the same time as the Samsung Galaxy S5 would take all the wind out of Samsung's sails.  
If Apple is going to make multiple sized & priced new model iPhones they will likely space the releases
post #22 of 34

Come on Apple put out a bigger iPhone. Who cares if the screen isn't as good as the 5. Have you seen the screen on the 4.7" HTC One, it's great. I couldn't tell a difference between that and the iPhone 5 screen in person. 

 

post #23 of 34
Quote:
Originally Posted by Arlor View Post

 

Under $300 would surprise me, too. Heck, even Google sold the Galaxy Nexus direct for $399 and the Nexus 4 (with half the memory) for $299. Apple's unlikely to sell an 8gb phone (like the base Nexus 4), so I would guess no lower than $399 for an off-contract new device.

Agreed. I just can't see selling it for less than a Galaxy Nexus. It just sends the wrong signal. And they don't NEED to sell it too low.

For your sake, I hope you're right.
Reply
For your sake, I hope you're right.
Reply
post #24 of 34
Quote:
Originally Posted by Abobrek View Post


Careful about saying anything about the Apple TV software revamp. I posted a comment on here about that when the logo/announcement for WWDC was announced, and how I thought that was a possibility, and I was basically laughed at and called an idiot for thinking so...by a moderator.

 

oh!  need to go check out that logo...

 

and tallestskill is no big fan of the Apple TV set, if you got flame by him.  imo we will get the software revamp way before the actual TV set, so its going to be on the Apple TV box at first.

 

update:

 

The WWDC logo could indeed be TV related. Of course, we cant be sure but this reinforce other rumors I saw about a TV software revamp and a new Apple TV box introduction. I think I will buy a few options calls that expires after the WWDC.  There is also a good case for it to be watch related.


Edited by herbapou - 5/8/13 at 11:11am
post #25 of 34
As long as they maintain margin what difference does the final selling price make? Further an iPhone priced right will significantly expand the customer base. Since Apple makes good profit of the customer base after the sale of the device it really doesn't matter if the device is $300 or $150. As long as they maintain quality it is all gravy to Apple.
Quote:
Originally Posted by jungmark View Post

Ugh. Apple will not sell a phone for less than $300 off contract. Apple doesn't do cheap.
You really don't understand the difference between cheap and low cost. High price tags do not imply high quality.
Quote:
I like how demand outweighing supply was considered a "slow start".

In a nut shell the analyst are idiots. They got all worked up over Mac sales when Apple didn't have an iMac on the market ready for sale. Instead of fretting about Apples future they should have been doing a bit of math to get a better picture as to iMacs proportion of the market. Likewise with iPhone, heavy demand at production ramp up is somehow interpreted to mean poor sales. It is really twisted at times what these guys come up with to promote the party line.
post #26 of 34
Quote:
Originally Posted by herbapou View Post

oh!  need to go check out that logo...

and tallestskill is no big fan of the Apple TV set, if you got flame by him.  imo we will get the software revamp way before the actual TV set, so its going to be on the Apple TV box at first.

update:

The WWDC logo could indeed be TV related. Of course, we cant be sure but this reinforce other rumors I saw about a TV software revamp and a new Apple TV box introduction. I think I will buy a few options calls that expires after the WWDC.  There is also a good case for it to be watch related.
I think it will be in Apple's best interest and the consumers to revamp the Apple TV software. It would be an excellent lead in from that interface to a full fledged TV. It will also, show Wallstreet and investors that Apple can make a TV, and it be successful. A revamp of the Apple TV software would also make for a great game console especially with the millions of iDevices being used for controllers. Just about a month away...all eyes will be on WWDC.
post #27 of 34
Quote:
Originally Posted by wizard69 View Post

As long as they maintain margin what difference does the final selling price make? Further an iPhone priced right will significantly expand the customer base. Since Apple makes good profit of the customer base after the sale of the device it really doesn't matter if the device is $300 or $150. As long as they maintain quality it is all gravy to Apple.
You really don't understand the difference between cheap and low cost. High price tags do not imply high quality.

If they make $300 per iPhone 5 now, why would they sell a cheap iPhone for razor thin margins? It does matter. They can't make $200-300 if it sells for less than $300.
post #28 of 34
Quote:
Originally Posted by jungmark View Post

If they make $300 per iPhone 5 now, why would they sell a cheap iPhone for razor thin margins? It does matter. They can't make $200-300 if it sells for less than $300.

 

That's like asking this question last year:

 

"If they make $200 per iPad, then why would Apple sell a cheaper iPad mini with lower margins?   Especially as it cannibalizes regular iPad sales!"

post #29 of 34
If they think a cheap iphone without a bigger screen will sell in Hong Kong they have another thing coming. Most locals have moved on to big screen Samsungs.
post #30 of 34
Quote:
Originally Posted by jungmark View Post


If they make $300 per iPhone 5 now, why would they sell a cheap iPhone for razor thin margins? It does matter. They can't make $200-300 if it sells for less than $300.

 

I think Wizard69 is suggesting that Apple makes money on the device after the sale, through e.g. 30% of every app/media transaction. 

 

That's certainly Amazon's philosophy with its devices, but (1) I don't think Apple believes in loss leaders and (2) while people may spend enough on media for their apps/media on a tablet, I doubt that's true for phones. Most people buy some apps for their phone, but use their tablets for media. If I'm right, it wouldn't make sense to sell the phone cheap. (Personally, I've spend maybe $150 on apps for my iPad, and thousands on media for my Kindle. I occasionally read news publications (on which Apple's making nothing, since I get the app free with my print subscription) on my phone, but that's about it for media.)

post #31 of 34
Originally Posted by ApplePi View Post
Who cares if the screen isn't as good as the 5.

 

Uh, Apple. You obviously know nothing about the company.


Originally Posted by herbapou View Post
and tallestskill is no big fan of the Apple TV set, if you got flame by him.  imo we will get the software revamp way before the actual TV set, so its going to be on the Apple TV box at first.

 

I dunno. I think I'm still out on it. Leaning away, but out.

 

I'm 100% out on 1080p for it, but… 

 

Content deals are still more important than both the UI (which they already have down pat) and a stupid, expensive, worthless TV panel.

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 #32 of 34
Quote:
Originally Posted by Tallest Skil View Post

 

Uh, Apple. You obviously know nothing about the company.

 

I dunno. I think I'm still out on it. Leaning away, but out.

 

I'm 100% out on 1080p for it, but… 

 

Content deals are still more important than both the UI (which they already have down pat) and a stupid, expensive, worthless TV panel.

 

Content deals are what stalling this indeed.  But the still need to revamp that interface, its getting old.  

 

Regarding content deals, cant wait to see if Apple will go by itself and bypass cable or work with cable. I am watching the QAM (cable) vs IPTV (DSL) war in both Canada and the US and its getting interesting. Cable is not reacting to well against the first real competition they face. If apple goes by itselft it wont be able to get a lot of channels because almost all of them are own by Cable/DSL giants. I wish Apple could introduce a third choice with internet but its only doable with pre-recorded content. There is still no technical way to broadcast live channels over the net in volume other than making an IPTV structure inside the ISP network.

 

I am pilling up cash for  my giant worthless TV panel... cant wait :-)


Edited by herbapou - 5/9/13 at 7:23am
post #33 of 34
Originally Posted by herbapou View Post
But the still need to revamp that interface, its getting old.  

 

There are certainly some problems with the current interface (SCROLL, NOT JUMP, YOU STUPID USELESS…), but it's almost exactly what I came up with for the Apple TV, so I like it. I need to sketch out notifications and the UI for scheduling next…

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 #34 of 34
Quote:
Originally Posted by AppleInsider View Post

"After a slow start, iPhone 5, is now on track to meet carrier volume expectations and iPhone 4 price cuts could stimulate incremental demand near-term," Huberty wrote.

 

What slow start? Is Huberty ignorant or just dishonest?

 

The iPhone 5 went on sale September 14, 2012, at which point Apple took 2 million orders within 24 hours. They sold 6 million iPhone 5 units in calendar Q3, i.e. by the end of that same month, just two weeks later. Apple then went on to sell another 27.4 million units in Q4, making it the #1 selling smartphone worldwide (source: http://tinyurl.com/cjetve8).

 

Again, what slow start?

New Posts  All Forums:Forum Nav:
  Return Home
  Back to Forum: iPhone
  • Morgan Stanley: Apple on track to build multiple new iPhone models in June-July
AppleInsider › Forums › Mobile › iPhone › Morgan Stanley: Apple on track to build multiple new iPhone models in June-July