Analysts Predict High Price of iPhone X Will Lead to 'Weakened Demand' in Q1 2018

[JediZenMaster]

Until the people don't buy anymore. Then it becomes alive quite rapidly. There might have been a day where Apple would not bring back older stuff. But given the fact that they don't innovate anymore and produce software on par with Microsoft, in terms of Quality, that day is IMO has gone.

Apple's marketshare in smartphones hasn't been rising the past years. It has been shrinking. And please mind that there are other countries on the planet than the US that make up the world and its population.

If we’re being honest though they have never chased market share. It’s been more about profits and creating products.

I doubt people will stop buying Apple products and these doomsday scenarios are the effect of ones echo chamber of having to be right.

As much as folks would love for the phone to be super cheap and for Apple to just not care about their margins that’s not going to happen. Would you take a cut in pay to make a few people happy?
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Would the X Plus really be justified at $1,099/$1,249 ($100 increase) or $1,199/$1,349 ($200 increase)? I think a decrease for all models would be justified.

If the X plus has ProMotion then it will be priced much higher and justified since that is something no other phone on the market has except for the Razor phone which is big and bulky and probably will be sold at fire prices.

 

[dampfnudel]

You're right, it is expensive. And I think that's why Apple offered the iPhone 8 under the iPhone X. They realize iPhone X is not for everyone given the price point and as good as the iPhone X is, the iPhone 8 is still a secondary option for consumers that want a similar form factor and touch ID.

But a lot of people don’t find buying an iPhone which is almost the spitting image of an iPhone they purchased three years ago that appealing either. People are waiting for prices to come down to a more “reasonable” level along with a new design. The Apple price barrier has now officially been hit and the “wings” of many people is starting to burn off forcing those people to look for alternatives, primarily waiting it out until hopefully the market starts to correct Apple’s “unbridled passion” for making coin.

 

[25ghosts]

I doubt people will stop buying Apple products and these doomsday scenarios are the effect of ones echo chamber of having to be right.

There is only one thing which dictates what people purchase at high prices. Great Products.

Apple's history proves that people stop buying Apple products, contrary to what Apple CEOs believe. And after that guys like Bill Gates have to step in to save Apple. The way Apple is headed, albeit on a much larger scale, in 5 or 8 years another Bill Gates will once again have to step in to save this company...

Apple lived off great innovations and was and ONLY had success ran by an innovator. Those days went when Apple fired Steve Jobs and once again as they lost him for good. Instead of looking for a someone innovative, they fired the closest thing they had to it, Forestall and once again gambled on Controlling CEOs and learned nothing from history.

I hope they will stick around and find someone who can innovate because the products they make today aren't sexy at all. They are clunky and unreliable gadgets like the rest !

 

[JediZenMaster]

There is only one thing which dictates what people purchase at high prices. Great Products.

Apple's history proves that people stop buying Apple products, contrary to what Apple CEOs believe. And after that guys like Bill Gates have to step in to save Apple. The way Apple is headed, albeit on a much larger scale, in 5 or 8 years another Bill Gates will once again have to step in to save this company...

Apple lived off great innovations and was and ONLY had success ran by an innovator. Those days went when Apple fired Steve Jobs and once again as they lost him for good. Instead of looking for a someone innovative, they fired the closest thing they had to it, Forestall and once again gambled on Controlling CEOs and learned nothing from history.

I hope they will stick around and find someone who can innovate because the products they make today aren't sexy at all. They are clunky and unreliable gadgets like the rest !

I’ve heard Tim Cook called a lot of things but controlling has never been one. I have an idea. Apple should just say screw it and sell the iPhone X for 400.00 because it seems that some people act as if Apple should give up their focus on profit and become like Samsung where you are okay with making less just to get a sale.

 

[HobeSoundDarryl]

Wow. Over 100 posts: where are the "...but who makes the most profitable iPhone?" people and "$2XX Billion in the bank can't be wrong" people, etc.

And know that next year, the iPhone Xs (and super size option) might roll out with even higher pricing and/or might beg for some add-on to squeeze even more money out of us.

I don't know what to make of this report other than to point out the second word in the name of this site and think about what that word means. It could indeed be an accurate forecast based upon potentially reliable supply chain information and sales are not as robust as expected. Or it could be any number of "sky is falling" spin.

If Apple finally broke the camels back with this (pricing) straw such that sales disappoint in a big way (20 Million units would be big), Apple will learn a lesson that consumers won't be so quick to just reward ANY decision they try to decide for us (especially higher pricing). Consequence (if true): better pricing, better value or both in iPhone Xs. Bigger consequence potential: maybe they get a little more sensitive to listening to what consumers want rather than deciding for us and expecting us to just swallow anything they choose to dish out.

If all is fine, Apple will roll out "best quarter ever" again when they give official word after the quarter.

In the meantime, rumors are speculation... sometimes based on good-to-great information and sometimes based on people just best guessing because they need to write a story or report. Rumors are not facts. Only Apple knows the facts about this topic.

If the facts support this rumor- that is, that sales are trending much worse than expected (by Apple)- expect Apple to crank up the marketing and expect to see a lot of "special deals" on X via key partners. When any company expects more sales and gets less, they usually crank up the marketing machine to try to catch up to expectations.

On the other hand, if iPhone marketing seems (and stays) about the same and if we don't notice any special deals, the facts are probably considerably different than implied by this rumor. Apple is not going to want to make MASSIVE negative news & PR by doing nothing and significantly disappointing on the next earnings call.

 

[dampfnudel]

If we’re being honest though they have never chased market share. It’s been more about profits and creating products.

I doubt people will stop buying Apple products and these doomsday scenarios are the effect of ones echo chamber of having to be right.

As much as folks would love for the phone to be super cheap and for Apple to just not care about their margins that’s not going to happen. Would you take a cut in pay to make a few people happy?
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If the X plus has ProMotion then it will be priced much higher and justified since that is something no other phone on the market has except for the Razor phone which is big and bulky and probably will be sold at fire prices.

Most people won’t see that as a good reason to jack up the price so much. Definitely not by $200, especially when the “base” price for the regular X is too high already. Now, maybe that’s the reason they’ll release a 6.1” LCD model next year, hopefully with FaceID at current iPhone 8 prices because they know the X is too high for many mainstream customers.

 

[25ghosts]

I’ve heard Tim Cook called a lot of things but controlling has never been one. I have an idea. Apple should just say screw it and sell the iPhone X for 400.00 because it seems that some people act as if Apple should give up their focus on profit and become like Samsung where you are okay with making less just to get a sale.

By Controlling a was referring to a position of 'controlling' not the TC as being on controlling nature

 

[EdT]

Face ID is fabulous and the notch is nothing troublesome to me after all. What saddens me is that the pwm flicker of the display means I can’t enjoy reading ebooks on my X. The flicker does not bother me too much, otherwise. I can play games and watch videos without too much strain on my eyes. But reading isn’t pleasant.

I do greatly appreciate the upgraded cameras. Sound is good, too. But I do need to keep my 7 Plus around for ebooks and that’s a bummer.

Despite my ranting about the X we bought my wife one, as she still had an iPhone 5 which was 7 years old and 32 bit processor, so new apps weren’t going to be available.

She lovers hers but never liked reading on either a phone or an iPad. She bought a second hand Kindle and uses that.

 

[JediZenMaster]

Most people won’t see that as a good reason to jack up the price so much. Definitely not by $200, especially when the “base” price for the regular X is too high already. Now, maybe that’s the reason they’ll release a 6.1” LCD model next year, hopefully with FaceID at current iPhone 8 prices because they know the X is too high for many mainstream customers.

Then they don’t have to buy it. Most folks who use an iPad Pro and have seen ProMotion in action would be amazed with it.

So luckily they will have a model for everyone. I’ll be waiting for the ProMotion one though it’s worth the $$ to me.

 

[5105973]

Despite my ranting about the X we bought my wife one, as she still had an iPhone 5 which was 7 years old and 32 bit processor, so new apps weren’t going to be available.

She lovers hers but never liked reading on either a phone or an iPad. She bought a second hand Kindle and uses that.

I have an old Kindle around here somewhere. The e-ink kind. I always liked backlighting since I tend to like to read where we don’t have lamps and did okay on my 7 Plus so I’ll stick with it.

I’m glad your wife likes her new phone!

 

[CarpalMac]

Something is unappealing about it at the price they’re asking. I went in two weeks ago to pick one up and just couldn’t get excited about it. Left with nothing but my 6s in hand.

I did exactly the same thing two weeks ago too.

Me three.

https://forums.macrumors.com/thread...hone-x-whats-different.2097108/#post-25635585

 

[lsutigerfan1976]

That’s not the only commercial they have. There are many others as well about the Camera, Face ID. Stop trying to use alternative facts to justify your point because it’s not working.

You sound like you work for Apple. Face it, every person I talked to all they see from the new phone is Face ID and Animoji. That’s not their fault. And the price tag. It’s ok. I think this is just a year where ppl will hold off, to see what comes out next year. It happens.

 

[44267547]

The Apple price barrier has now officially been hit and the “wings” of many people is starting to burn off forcing those people to look for alternatives, primarily waiting it out until hopefully the market starts to correct Apple’s “unbridled passion” for making coin.

That is going to be the most difficult thing for most consumers to spend over $1000 on the iPhone X. I think it's a great device and has a promising future with Face ID, OLED display, gesture controls, etc. But the question is, is that enough for the average consumer to want to update from their latest device knowingly if they would appreciate that or not, and if they can afford it.

I think that's a reason why Apple offered the iPhone 8, knowingly that it is a cheaper device and it has familiarity for those who we're not interested in the iPhone X. Even the iPhone 7 is still a great device, which is very similar to the iPhone 8 And is cheaper.

 

[JediZenMaster]

You sound like you work for Apple. Face it, every person I talked to all they see from the new phone is Face ID and Animoji. That’s not their fault. And the price tag. It’s ok. I think this is just a year where ppl will hold off, to see what comes out next year. It happens.

Well I can’t speak for every single person nor can anyone else. I can only point out what I like in the X which is everything because I don’t really care what others think when it comes to buying things .

I don’t work for Apple and if that was an attempt at a backhanded comment it didn’t work.

I hope the price tag stays the same after all if the Note 8 can afford a premium then so can Apple devices.

 

[Westside guy]

Apple is busy preparing a software “update” for your iPhones that will make you reconsider.

If being able to turn yourself into a talking three-dimensional poop emoji didn't convince people... nothing will.

 

[Newjackboy]

Except it would have been glass because wireless charging does not work with phones made from aluminum.

The X would have never been a straight replacement for the 7 as the 8 was part of the pipeline. In face the X was supposed to have been released in 2018 but was released early.

I understand that folks want Apple to just sell everything for cheap while Samsung can price their Note 999.00 and that’s supposed to be okay.

I guess I missed the memo where Apple became a not for profit company and should destroy their margins and piss off shareholders just to make a small amount of users happy.

I wouldn’t have thought the 8 was always in the pipeline. 4 years of the same body/design.. don’t think that was the plan in 2014..

I have an X. I couldn’t go back to a 8 Plus or 8 right now. But I can call price gouging when I see it.
(And I felt the same way when the IPad Pro 9.7 was released with a huge huge price jump on the IPad Air 2)
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But a lot of people don’t find buying an iPhone which is almost the spitting image of an iPhone they purchased three years ago that appealing either. People are waiting for prices to come down to a more “reasonable” level along with a new design. The Apple price barrier has now officially been hit and the “wings” of many people is starting to burn off forcing those people to look for alternatives, primarily waiting it out until hopefully the market starts to correct Apple’s “unbridled passion” for making coin.

Agreed 100 %

There has also been so much attention around the 1000 price tag. So for the very first time, people are taking a pause and thinking, do really need to spend this, right now?

 

[dypeterc]

So if $1000 is too expensive for a X, Samsung is going to be screwed as it brings nothing new to the table in regards to new or better smartphone technology.

Also see: http://mashable.com/2017/12/14/in-defense-of-1000-dollar-smartphone/
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If I had stayed with apple it would have been with a 7. The X is far too expensive for what it is. However I have found the Pixel 2 XL is much more to my liking and I got it at a cheaper price than even a used 7 would have run me. Not having to deal with Siri and apple maps as well as a host of other things was well worth it to me.

 

[senseless]

I'm guessing that Apple bumped the price to meet initial demand, but will reduce it shortly to a more popular price. They probably have plenty of margin to play with. I'm also wondering what happened to the scalpers hoping to resell the X at a premium.

 

[mrzz]

I can Only speak for myself but there is nothing in that phone that is worth 1100.

if "only" 1100, it's ~usd1600 for 256gb in EU together with tax and vat .. i'm more than sure it won't sell well.

 

[sracer]

That is going to be the most difficult thing for most consumers to spend over $1000 on the iPhone X. I think it's a great device and has a promising future with Face ID, OLED display, gesture controls, etc. But the question is, is that enough for the average consumer to want to update from their latest device knowingly if they would appreciate that or not, and if they can afford it.

I think that's a reason why Apple offered the iPhone 8, knowingly that it is a cheaper device and it has familiarity for those who we're not interested in the iPhone X. Even the iPhone 7 is still a great device, which is very similar to the iPhone 8 And is cheaper.

Another reason for the iPhone 8's existence is as a means of buoying up the iPhone X's price. The 8 fits the usual iPhone price range and in a sense helps to up-sell some customers to the X.

I really don't understand why these analysts continue to project demand when they have such a poor track record at doing it. I suspect that the X is selling better than I think it would.

 

[poorcody]

One thing that has increased my hesitation to upgrade has been that upgrades used to be purely additive, meaning that new features were added but nothing lost. The last few years this has not been true: losing the headphone port, TouchID, no-burn-in screen, etc. I get that is the nature of technology, but it does make me revaluate upgrading the last few cycles. When you then push the price up as well, that was sort of a tipping point for me. I will upgrade eventually, but I still like having a headphone jack and TouchID (ideal phone would have TouchID, home button, and FaceID for me), so I don't want to pay $1000 to lose them.

 

[IbisDoc]

If being able to turn yourself into a talking three-dimensional poop emoji didn't convince people... nothing will.

Westside of Cupertino?

 

[69650]

The best thing about the X is the OS which I already have on my 6s. I can’t see any reason to upgrade and spend £1500.

 

[Wide opeN]

Plain and simple, the iPhone X is a reach as far as pricing goes.

 

[springsup]

The 8 gives you the standard, annual incremental component improvements - better camera, faster CPU, etc.
The X gives you those incremental improvements + bigger screen + Animoji.

I don't really consider FaceID a "feature" because it's just a necessity if they remove TouchID. I don't think FaceID itself is going to drive any sales (that is, an iPhone 8 with FaceID but no Animoji wouldn't sell better than a regular 8, IMO).

Oh, and they finally caught up with wireless charging. It's quite disappointing that it took them so long since they don't appear to be bringing anything significantly new or better. You wonder why they didn't do that in the first place (it's not like they were ever huge fans of cables and ports).

Apple isn't "doomed", but this also clearly was not the Big Bang release that many were expecting. The X is more like a 7SS.