Apple is developing “at least two screen sizes,” according to a new rumor from Topeka Capital Markets analyst Brian White.
White met with a company inside of Apple’s supply chain and learned that the Cupertino based company has been testing various screen sizes. There is the very real possibility that Apple could release three screen sizes if everything tests as expected.
In a memo to investors, Brian White writes:
“We believe Apple is coming around to the fact that one size per iPhone release does not work for everyone and offering consumers an option has the potential to expand the company’s market share.”
In his Apple iPhone screen size analysis, White also predicts that Apple will ship its newest hardware offerings in July 2013. White believes Apple, at that time, will also announce its new lower-cost iPhone model. Unlike recent rumors, White claims that Apple is not likely to sell a new iPhone for under $300 without a contract. Recent rumors have suggested that an entry-level iPhone could sell for $150 to $200 on contract.
Given that Apple iPhone’s already start at $299 for base models, selling a “low-cost” model for the same price with a rumored plastic body build seems counter-productive.
White writes:
“We believe this price point is reassuring for investors that Apple wants to expand its market reach with consumers in developing countries such as China. However, the company will also manage its margin profile and brand accordingly.”
If Apple releases its new iPhone with several screen sizes and also offers a low-cost option, it could do away with previous models. Analysts fear that too many iPhone models on the market could confuse customers. Apple currently sells the iPhone 5, iPhone 4S, and iPhone 4.
Apple could be forced to remove several models from the mix in order to reach the needed production levels for the various new models it would begin selling in July.
