Well-known Apple analyst re-appears, predicts lower 2018 iPhone pricing

Posted:
in iPhone edited June 2018
Ming-Chi Kuo appears to be back on the Apple beat, with new estimates for price ranges across the three phones said to be in the 2018 iPhone lineup.

2018 iPhone lineup summary


Kuo, now working for TF International Securities, believes that Apple will move to a slightly more aggressive pricing plan for the new iPhones. For starters, he believes that the 6.1-inch LCD phone will be priced around $600 to $700.

Moving up the product line, he also claims that the that the 5.8-inch OLED model will be around $800 to $900 and the 6.5-inch OLED "iPhone X Plus" will be priced around $900 to $1000.

Kuo also believes that all three models will ship in quantity in September and early October. This stands in contrast to a report claiming that the 6.1-inch model will be pushed to November because of difficulties cutting an iPhone X-like "notch" out of a LCD panel.

Reasons cited for the pricing are customer resistance to the escalation in smartphone pricing, an "improved cost structure" for Apple because of component yield increases, and Apple's hard push of Face ID to consumers which in turn will grow Apple services revenue.

Kuo left KGI securities in April, and was expected to stop reporting on Apple's product plans. At KGI, Kuo used his supply chain connections to discern product details that were often accurate, then share his investor memos with AppleInsider and other publications.

In 2014, for example, he correctly predicted some specifications of the iPhone 6 and iPhone 6 Plus, as well as the announcement of the Apple Watch, though its launch would only happen in 2015.

Kuo's last Apple prediction was on April 26, suggesting that this fall's rumored 6.1-inch LCD iPhone will adopt new touch technology and might forego 3D Touch to keep prices down. The analyst was the first to predict that Apple will ship the 6.1-inch LCD device at the lower end, as well as 5.8- and 6.5-inch OLED models.

He has also predicted a cheaper HomePod, and a redesigned Watch with a bigger screen, better battery life, and more health monitoring upgrades.
albegarc

Comments

  • Reply 1 of 15
    asciiascii Posts: 5,941member
    He even knows what shape the battery is going to be!
  • Reply 2 of 15
    Mike WuertheleMike Wuerthele Posts: 4,107administrator
    ascii said:
    He even knows what shape the battery is going to be!
    He pegged the motherboard shape and stack for the iPhone X (then called the iPhone 8) very early as well.
    racerhomie3repressthis78Bandit
  • Reply 3 of 15
    canukstormcanukstorm Posts: 1,780member
    Lower prices? I say bring it!
    albegarc78Bandit
  • Reply 4 of 15
    foggyhillfoggyhill Posts: 4,767member
    He's wrong 100% of the time on pricing so I guess "who cares" is the proper response.
    StrangeDaysgregg thurman
  • Reply 5 of 15
    repressthisrepressthis Posts: 383member
    Our lord is resurrected. Without his blessed,  prophetic words I have fallen into deep despair.
    StrangeDays
  • Reply 6 of 15
    AppleZuluAppleZulu Posts: 380member
    I wonder what the terms are for Kuo to share his “often accurate ... investor memos with AppleInsider and other publications.” Surely this is not just benevolent wisdom received from the mountain top for the furtherance of all humanity. 

    Aside from possible financial remuneration, it certainly seems as if there is a rider requiring frequent fluffing of reputation and ego. 
  • Reply 7 of 15
    SpamSandwichSpamSandwich Posts: 30,581member
    Oy vey. For a moment I thought the “Ming dynasty” had ended.
    cornchip
  • Reply 8 of 15
    StrangeDaysStrangeDays Posts: 6,563member
    Can AI clarify for once and all how it obtains Kuo’s reports? Does it subscribe to them, or does he give them to AI? The context of his message matters, so the transparency would be a welcome vaue add to readers. 
    edited June 2018 SpamSandwich
  • Reply 9 of 15
    foggyhill said:
    He's wrong 100% of the time on pricing so I guess "who cares" is the proper response.
    Predicting and being correct are two completely different things. 

    As to Kuo’s pricing prediction I’ve been touting the iPhone X will be $899 and the iPhone X Plus will be $999, come this September, since January. 
  • Reply 10 of 15
    bluefire1bluefire1 Posts: 860member
    Knowing that anyone in their right mind will also purchase AppleCare, the iPhone X Plus will cost over $1000,   
    Wallet still open and ready.
    edited June 2018
  • Reply 11 of 15
    olsols Posts: 28member
    Why cant he just disappear? I mean for good
    SpamSandwich
  • Reply 12 of 15
    foggyhillfoggyhill Posts: 4,767member
    foggyhill said:
    He's wrong 100% of the time on pricing so I guess "who cares" is the proper response.
    Predicting and being correct are two completely different things. 

    As to Kuo’s pricing prediction I’ve been touting the iPhone X will be $899 and the iPhone X Plus will be $999, come this September, since January. 
    Well, if your never correct, I'm not calling that a prediction, merely a call for attention/click/money.
    Even on hardware, he emitted hundreds in 2017 (many reemmitted from other sources) yet people say, hey he was right on... Well, if you are only marginally "right" in hindsight you should not get the fluffing he gets. He's merely a dime and dozen hack; no need for a "title".
  • Reply 13 of 15
    gatorguygatorguy Posts: 19,817member
    As others have said Kuo's pricing predictions have been a bit off-base, but product wise this year he turned out to be pretty darn accurate. 
  • Reply 14 of 15
    gatorguy said:
    As others have said Kuo's pricing predictions have been a bit off-base, but product wise this year he turned out to be pretty darn accurate. 
    Because of supply chain spies. Not because he’s particularly prescient.
  • Reply 15 of 15
    gatorguygatorguy Posts: 19,817member
    gatorguy said:
    As others have said Kuo's pricing predictions have been a bit off-base, but product wise this year he turned out to be pretty darn accurate. 
    Because of supply chain spies. Not because he’s particularly prescient.
    Well of course.
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