Supply chain evidence of 4-inch 'iPhone 6c' disappears, analyst says
Cowen and Company analyst Timothy Arcuri, one of the first to report on the possibility of a 4-inch "iPhone 6c," revealed in a recent interview that he can no longer find evidence that Apple is working on such a device for 2015.
Talking with Business Insider, Arcuri speculates Apple may have nixed the idea of a small-screened next-generation iPhone so as not to cannibalize sales of refreshed 4.7-inch and 5.5-inch models widely expected to launch this fall.
"I think one of the reasons is because the iPhone 6 has sold so well," Arcuri said. "And they said, 'Look, why would we want to cannibalize? If we came out with an iPhone 6C, we would essentially cannibalize a price-reduced iPhone 6.'"
Arcuri first claimed Apple was mulling a return to the 4-inch smartphone form factor last December, saying it was "possible" that the device would be marketed as an alternative to refreshed "iPhone 6s" and "iPhone 6s Plus" hardware. A number of longtime iPhone owners were dismayed when Apple decided to move away from the pocketable 4-inch screen size last year.
Follow-up reports, supposed parts leaks and industry scuttlebutt seemingly confirmed Apple was on track to introduce a third, smaller iPhone version this year, perhaps as a repackaged iPhone 5s wrapped in aluminum. Those rumors have since fizzled out.
It should be noted that Arcuri has a mixed track record when it comes to Apple predictions. In early 2014, he correctly identified a number of iPhone 6 features prior to its announcement in September, but incorrectly guessed the iPhone 6 Plus would come with a more powerful processor. However, the recent research note lines up well with predictions from the more reliable Ming-Chi Kuo, who in April said Apple is unlikely to launch a 4-inch model this year.
Apple might be waiting to unleash a new 4-inch model next year as part of iPhone's biennial overhaul. Reports in June claim AU Optronics won an order to supply 4-inch panels for an as-yet-unannounced iPhone model to be introduced in 2016.
With rumors now pointing away from a 4-inch "iPhone 6c," at least for 2015, Apple could be looking at a handset lineup anchored by a free-on-contract iPhone 5s on one end, two new "iPhone 6s" devices on the other and discounted iPhone 6 models in between.
Talking with Business Insider, Arcuri speculates Apple may have nixed the idea of a small-screened next-generation iPhone so as not to cannibalize sales of refreshed 4.7-inch and 5.5-inch models widely expected to launch this fall.
"I think one of the reasons is because the iPhone 6 has sold so well," Arcuri said. "And they said, 'Look, why would we want to cannibalize? If we came out with an iPhone 6C, we would essentially cannibalize a price-reduced iPhone 6.'"
Arcuri first claimed Apple was mulling a return to the 4-inch smartphone form factor last December, saying it was "possible" that the device would be marketed as an alternative to refreshed "iPhone 6s" and "iPhone 6s Plus" hardware. A number of longtime iPhone owners were dismayed when Apple decided to move away from the pocketable 4-inch screen size last year.
Follow-up reports, supposed parts leaks and industry scuttlebutt seemingly confirmed Apple was on track to introduce a third, smaller iPhone version this year, perhaps as a repackaged iPhone 5s wrapped in aluminum. Those rumors have since fizzled out.
It should be noted that Arcuri has a mixed track record when it comes to Apple predictions. In early 2014, he correctly identified a number of iPhone 6 features prior to its announcement in September, but incorrectly guessed the iPhone 6 Plus would come with a more powerful processor. However, the recent research note lines up well with predictions from the more reliable Ming-Chi Kuo, who in April said Apple is unlikely to launch a 4-inch model this year.
Apple might be waiting to unleash a new 4-inch model next year as part of iPhone's biennial overhaul. Reports in June claim AU Optronics won an order to supply 4-inch panels for an as-yet-unannounced iPhone model to be introduced in 2016.
With rumors now pointing away from a 4-inch "iPhone 6c," at least for 2015, Apple could be looking at a handset lineup anchored by a free-on-contract iPhone 5s on one end, two new "iPhone 6s" devices on the other and discounted iPhone 6 models in between.
Comments
2015:
$299 6S+
$199 6S
$99 6
$0 5S
2016:
$299 7+
$199 7/6S+
$99 7C
$0 6
More likely they saw parts for the new iPod touch and thought it was the 6C.
I was thinking exactly the same thing after I got my new iPod Touch!
Maroons...
Disappeared? Or did his sources stop talking?
hmmm, fallenjt, you've got me thinking, Apple could drop the "+" model except at the premium end of things, pricing would be odd if they keep the 6+, marketing would be easier without it, ...however, I don't totally agree with 2015, and not much w/2016, more like this:
2015:
$299 6S+
$199 6S
$99 6
$0 5Sc (take 5s and put in 5c form factor, maybe even add NFC chip to enable Apple Pay)
2016:
$299 7+
$199 7
$99 6s
$0 6c (take the 6 innards and put in the "c" form factor with 4" or 4.3" screen)
I don't see Apple dropping the 5c form factor, but I DO see them dropping the 5/5s form factor as that has been the most difficult for apple to produce.
I could see this more easily than the complications that would be involved to keep making all the 6 models.
Personally, I wish Apple had made the 6 4.3" and the 6+ 5.1" ... 4.3" would be one-hand manageable, and not so big in my pocket as the 4.7" iPhone 6 is.
(EDIT: + signs disappeared!?)
The new A8-powered 4" iPod Touch is more powerful than the A7-powered iPhone 5s.
Why would Apple release a new 4" iPod, a relatively low-volume product, sending a signal to app developers that the 4" form factor should continue to be supported, unless it also intended to continue the 4" form factor in its highest-volume product?
"Last year Apple was smart to leave off an updated 4" model. It placed the focus on the 4.7" and 5.5" models, and allowed Apple to continue to milk the 5s, sans re engineering, for another year, as the $100 discounted model; a very capable phone in that slot.
This year, Apple will want to sell the 6s/6s+ without competition from a large screen $100 discounted model. So if neither the 6 nor the 6+ can fill that slot, and customers would balk at the 5s remaining in that slot, this means Apple needs a new model to fill the $100 discounted slot.
To my mind, this suggests the potential for a new A8-powered 4" iPhone Mini to replace the 5s as the discounted model this year. Where the 5s has remained available in only 16 and 32GB models, with a $50 bump in price to get you the higher storage, Apple can offer the 4" iPhone mini as a new model, adopting the 16 to 64GB strategy that worked so well to get iPhone 6/6+ customers to spend an extra $100. And that bump can be a full $100 on the Mini too, as it's a larger bump than just to 32GB, and because the Mini would be a fully new and updated model in the product line, equal in status to the flagship 6s/6s+ models.
The new 6S/6s+ would replace the 6/6+ as the only large screen offerings, preserving ASPs on the larger form factors. The crowd who lamented the lack of an updated 4" iPhone are placated, and Apple revenue and earnings continue their upward trajectory through 2016.
What might drive this decision at Apple.
An updated 4" model fits in with what I think is a deliberate strategy Apple adopted with the plastic-bodied iPhone 5c in the 2013 refresh cycle. That being...
On an S-model year, create a clear differentiation between the full-price flagship model and the -$100 discounted outgoing model. This maximizes ASPs as there is no incentive to cheap out with last year's model, which could otherwise be casually passed off as the latest model, at least from a distance; you get the prestige of the flagship without paying full-price. Apple, I think, wanted to prevent this buying behavior.
The 5c accomplished this by watering down the prestige of the elegant metal- and glass-bodied phones that came to be a hallmark of the iPhone.
Last year - a new model year - the larger form factors created a natural differentiation.
But now we're back to an S-model year, and Apple will want buyers to have a clear decision; you want the phablet (5.5" format), the flagship phone (4.7" format), or settle for the Mini (4" format) to save money.
So, no two options (new model versus last year's model) within any form factor. Just makes sense.
New iPod came out.
Seriously I think a 4" iPhone is possible, the new iPod proves this even more. I just don't believe anything analysts say.
The new A8-powered 4" iPod Touch is more powerful than the A7-powered iPhone 5s.
Keep your old iPhone and instead get the new iPod Touch. You'd be able to answer phone calls on your iPod through Continuity*.
(*) Continuity turns your Apple device into a phone by taking advantage of your iPhone's antennas. If I am not mistaken it happens through Bluetooth, a very low radiant.
source: ars technica
I need a 4" iPhone again and will go back to the 5S if they don't release one this year. Will be able to use Apple Pay with my Watch with the 5S (just won't be able to Apple Pay on websites but I've not seen that feature in Australia yet so that won't be a problem).
They already have the outer casing sorted now that they have a 4" iPod. Just need to cut a hole for the sim card.
They know that only 27-29% of iPhone owners have upgraded to the 6/6+ so they have to realise that some of those that haven't - really want the smaller phone.
You'd be able to answer phone calls on your iPod through Continuity*.
Really? I think you can only answer phone calls on your Mac. Not an iPad or iPod.
Really? I think you can only answer phone calls on your Mac. Not an iPad or iPod.
It works with the iPad and your Mac (laptop + desktop).
Apple doesn't mention the iPod. But isn't the iPod a very small iPad Wifi? Perhaps Appleinsider or someone from the forum could try this out? I don't have an iPhone, just the new iPod Touch and feature phone.
It could be a nice workaround for those in favour of the 4 inch form factor.
Really? I think you can only answer phone calls on your Mac. Not an iPad or iPod.
Definitely works on iPad mini, have answered calls and texts via the ipad when the phone's been upstairs charging.
I DO still think (and hope) that they'll introduce a new 4" device. I have a 5, my wife has a 5C, we've both been holding off upgrading as I'm sure many others have too given the sub 30% upgrade numbers - most 6/6s owners must've been android/windows/dumbphone switchers. releasing a new iPod touch also gives renewed life to the 4" screen size.
Not going to quote everything but this was a really good post with really good points. Differentiation is a key. The 4S was plagued a bit by the fact that it "looked the same" as the 4 – a model being sold for $100 less (uninformed consumers couldn't differentiate the two). The first two 'S' generations had no differentiation from the mid-tier offering. The third did with the 5s/5c. This will be the fourth opportunity to see if Apple sticks with the current trend or reverts back to the previous range of options.
I semi-reluctantly got the 6 last year because it was the smallest of the flagship phones. I really wished there were a 4" option. I still do. If Apple were to make a 4" flagship again it would make me and the vocal minority happy.