RBC Capital Markets analyst, Amit Daryanani issued a note to investors today with some alleged information on Apple’s plans to release a low-cost iPhone this June/July. He’s virtually singing from the same hymn sheet as every other analyst who’s predicting the cheaper iPhone. It’ll purportedly have a 4-inch, non-Retina display, be cased in plastic and cost less than $400 to buy SIM-free, making it a more feasible option for the emerging market consumers who want a taste of Apple. Allegedly, it’ll not just be in black and white either, it’s speculated that it will be available in multiple colors.
Since it’s from an analyst, this speculation is based mostly on where the emerging markets are and what the potential financial gain is for Apple in that sector. As I’ve mentioned countless times before, predicting what Apple will do based solely on financial reward is a dangerous game. We all know that it’s not the company’s mentality. And while it’s certain that Apple’s designers have prototyped and tested countless designs and materials for future products, they won’t be launched unless they offer the same great experience as existing iPhones.
That’s not to say this won’t happen. Many are in agreement that it will happen. But I’m always skeptical when the rumor comes from an analyst and not someone with a reliable track record.