Barclays: Cheaper iPhone for emerging markets ‘key’ for Apple

“Barclays Capital’s Ben Reitzes today returns to a theme brought up frequently in the past couple years, namely the prospect of Apple offering a less-expensive model of iPhone to tap growth of smartphones in emerging markets,” Tiernan Ray reports for Barron’s.

Ray reports, “Reitzes, who has an Overweight rating on Apple shares and an $800 price target, posits Apple’s challenge as that of defraying Google‘s Android‘s advances with cheaper devices, writing ‘a key test of Apple’s long-term model will be whether the company can capture the growth associated with a new wave of emerging market consumers who could enter the smartphone market through low priced Android devices.'”

Read more in the full article here.

[Thanks to MacDailyNews Reader “Dan K.” for the heads up.]

19 Comments

  1. what in the world makes Ray think that an “iPhone Shuffle” or “iPhone mini” would attract new users into the Apple ecosystem? neither make any sense whatsoever when legacy iPhones are already developed and easy to sell with a huge ecosystem of accessories in place.

    Apple can ill afford to spend development money making yet another fragmentation of its iOS platform hardware just to enter low-margin markets. Instead, Apple ought to get its act together and fix its horrid Maps, its less-than-stellar iTunes 11, update its antiquated and limited iOS and Mac iWork applications, and so forth — all while keeping up with the smartphone styling & features arms race with a visibly refreshed iPhone 6 and Mac Pro and pro-quality Retina displays in the next calendar year or so.

    Who pays these analysts anyway?

  2. Every time I see the word cheaper and Apple in a title, I just know the article will not be worth reading.

    We could even create an automated search to build a black list of authors that don’t get it.

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