New 4" iPhone With 12MP Camera Said to Cost $400-$500, iPhone 5s to Receive 50% Price Cut

Discussion in ' News Discussion' started by MacRumors, Feb 26, 2016.

  1. MacRumors macrumors bot


    Apr 12, 2001

    KGI Securities analyst Ming-Chi Kuo has issued a research note to investors, a copy of which was obtained by MacRumors, in which he claims Apple's next-generation 4-inch iPhone will feature a 12-megapixel rear-facing camera, as opposed to an 8-megapixel sensor as previously rumored.


    Kuo also reiterated that the new 4-inch iPhone will have other similar hardware specs as the iPhone 6s, including an A9 chip and NFC for Apple Pay. The device's form factor is expected to be similar to the iPhone 5s, although the display is said to have slightly curved 2.5D glass like the iPhone 6 and newer.

    Apple's new 4-inch iPhone could also feature 16GB and 64GB storage capacities, 802.11ac Wi-Fi, Bluetooth 4.2, Live Photos support, and a slightly larger 1,642 mAh battery compared to the iPhone 5s. 3D Touch will likely remain exclusive to the iPhone 6s and iPhone 6s Plus as a differentiating feature.

    The well-informed analyst continues to believe the smartphone will cost between $400 and $500 in the United States. The lower price point should help Apple target the mid- to low-price segment and drive iPhone sales in emerging markets such as China and India. Comparatively, the larger iPhone 6s starts at $649.

    KGI Securities expects total 4-inch iPhone shipments to grow 131% year-over-year to 37 million units in 2016, on the strength of the new 4-inch iPhone launch and a 50% price cut on the iPhone 5s. Apple currently sells the iPhone 5s for $450 at full retail price, so the smartphone may soon be discounted to $225.

    The research firm has lowered its new 4-inch iPhone shipments forecast to 12 million units from 18-20 million units because it believes customers that favor a small-size iPhone may purchase the cheaper iPhone 5s instead. KGI expects iPhone 5s shipments to "surge" following the half-off discount.

    Kuo said Apple's upcoming 4-inch iPhone is "generally dubbed iPhone 5se," but a recent report said the smartphone may actually be called the "iPhone SE." The purported iPhone 5s successor has been given many other names in recent months, including "iPhone 6c," "iPhone 5e," and "iPhone 5s Mark II" internally.

    Apple is expected to announce the new 4-inch iPhone, alongside a new 9.7-inch iPad Pro and minor Apple Watch updates, at its rumored March 15 media event. Barring any last minute changes, the smartphone could reportedly go on sale as early as March 18. Apple is unlikely to offer pre-orders for the device.

    The research note also clarified that Apple will offer both single and dual camera versions of the iPhone 7 Plus.

    Article Link: New 4" iPhone With 12MP Camera Said to Cost $400-$500, iPhone 5s to Receive 50% Price Cut
  2. Fortimir macrumors 6502a


    Sep 5, 2007
    Indianapolis, IN
    Show me a phone at $395 and we'll have something to talk about.
  3. thisisnotmyname macrumors 6502a


    Oct 22, 2014
    known but velocity indeterminate
    sounds like some great features for a nice price point. Those that desire a smaller form factor will be pleased.

    Edit: and then I see the post above me. Poe's law in effect?
  4. NOV macrumors 6502


    Mar 27, 2004
    The Netherlands
    I don't really see potential for this phone, premium pricing with tiny screen. Hope at least that the design will be something spectacular.
  5. nando87 macrumors 6502a

    Jun 25, 2014
  6. garirry macrumors 65816


    Apr 27, 2013
    Poutine Queen Land
    I so wish we had a consumer-level iPhone for $300.
  7. Oblivious.Robot macrumors 6502


    Sep 15, 2014
    Looks like they finally decided not to cripple the 'mini' device.
    This honestly sounds great!
  8. nando87 macrumors 6502a

    Jun 25, 2014
    Styling, I will doubt between my 6s plus which is very functional and this because it'll probably be beautiful and reduced, like the 5s was. To me that's the perfect size styling wise.
  9. SteveW928 macrumors 6502a


    May 28, 2010
    Prince George, B.C. Canada
    I don't care so much about the cost, but otherwise, it's sounding nearly perfect.... IF it has 2GB of RAM.

    I think, though, that to keep selling the 5s at a reduced price is a mistake. That phone will very likely be obsolete (or may as well be) with the next couple of iOS updates. It's not a good deal if it doesn't work well or provide a good user experience. Apple is making way too many poor user experiences these days.
  10. Adithya007 macrumors regular

    Apr 16, 2015
    Looks like the time has come to upgrade my 5s!
  11. oldmacs macrumors 68040

    Sep 14, 2010
  12. ghanwani macrumors 6502a

    Dec 8, 2008
    Thanks Apple. There goes the resale value of my phone.
  13. QCassidy352 macrumors G3


    Mar 20, 2003
    Bay Area
    I don't believe it. I don't believe they will ever sell any iPhone at $225 (full retail). That's playing in the low end of the market, which they've never done in any product category. I also doubt the new iPhone pricing. Well, maybe a 16GB for $500.
  14. Keirasplace macrumors 68040

    Aug 6, 2014
    Don't believe ONE SECOND that this will happen, unless they stop selling it in the US (only sell it in India or something).
    Kuo seems to be pulling this **** out of his ass: litterally.
  15. iabacus macrumors member

    Sep 26, 2011
  16. pika2000 macrumors 68000

    Jun 22, 2007
    50% price drop of the 5S? Unlikely. Maybe just a signal on market price of used 5S.

    So this year's lineup will be SE, 6S, and 7? Apple ditching the A8 so quickly. Still, it's great for budget centric consumers.
  17. SteveW928 macrumors 6502a


    May 28, 2010
    Prince George, B.C. Canada
    I agree. And, I'd actually be worried if they do, as I said above, selling someone a new iPhone 5s is just asking for a premature poor user experience. That's not good for the Apple brand, even if it brings in some extra cash and iPhone sales numbers.

    And, while Apple says they don't care about cannibalization, I think they do if the profits get cannibalized. I'm guessing that if the new 4" phone really does have this close of specs to the 6s, and they priced it that much cheaper, it would quickly become the top selling iPhone model (as opposed to more like 20-30% if it were closer to the price of the 6s).

    I also agree that if that pricing is true, that will be for the 16GB model, which is pretty much useless, so that probably means $100 more for the 64GB.
    --- Post Merged, Feb 26, 2016 ---
    It depends on how quickly Apple will be moving the whole product line to 2GB RAM and making 'advances' to the OS.
  18. ValO macrumors 6502a

    Sep 16, 2012
    But they won' t.
    Perhaps they'll sell the 5s for 350 and the se for 450. But I think they won' t get lower. Perhaps in India , South America or other emerging markets. Perhaps they won' t even sell the 5s in western markets anymore. Just like they did with the iPhone 4.
  19. ShadovvMoon macrumors 6502


    May 22, 2015
    Brisbane, Queensland, Australia
  20. pika2000 macrumors 68000

    Jun 22, 2007
    I don't think it will "cannibalize" per se. People who wants the larger screen would still opt for the 6S instead of the SE.
    I mean if you think about it, the non-plus version should've "cannibalize" the plus phones, but they didn't.
    --- Post Merged, Feb 26, 2016 ---
    Indian market != US market. Why should Apple slash prices on the market that can and will pay for the premium price?
  21. Candlelight macrumors 6502a


    Oct 12, 2011
    New Zealand
  22. pika2000 macrumors 68000

    Jun 22, 2007
    It is actually less confusing.
    Before, consumers have to worry about many other things like Apple pay support, etc since the baseline iPhone is two generations behind. Now, if the baseline iPhone is closer tech wise, only 1 gen behind, people just need to worry about screen size.
    Want basic iPhone that can do most of the advertised features? SE
    Want larger screen than that? 6S
    Want latest and greatest? 7.
  23. Velli macrumors member

    Feb 1, 2013
    I'm not worried. I call BS on that particular rumor.
  24. RowellE macrumors regular


    Mar 5, 2012
    I'll be upgrading from a 5S as well. I just hope they don't release a newer 4" iPhone this fall with the 7s.

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