“Apple Inc. shares rose Wednesday as a Piper Jaffray analyst predicted promotional iPhone price cuts in the United Kingdom and Germany will pave the way for the release of a new iPhone model with 3G technology in June,” The Associated Press reports.
“Apple shares rose $4.69, or 3.2 percent, to $153.07. In the past year, the stock has traded between $89.60 and $202.96,” AP reports.
“Piper analyst Gene Munster said in a client note that starting Wednesday, Carphone Warehouse and wireless carrier O2, which sell the iPhone in the U.K., cut prices on the 8-gigabyte iPhone to 169 pounds ($333) from 269 pounds ($530). Munster also noted that near the start of the month T-Mobile cut the price it charges in Germany for the same model to 99 euros ($157) from 399 euros ($631), with qualifying cell phone plans,” AP reports.
“Both promotions will stop at the end of June, the analyst said, and he thinks they mean demand for the product is light in Europe and that carriers are ‘draining the channel’ in advance of a new iPhone model that includes 3G, or third-generation technology,” AP reports.
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