“Apple is expected to bump up the screen size on its next iPhone. Recent rumors even claim the company will unveil two new models later this year — one with a 4.7-inch screen, the other with a 5.5-inch screen. Assuming this prediction proves true, a certain amount of cannibalization of the Mini is likely,” Lance Whitney reports for CNET. “But Piper Jaffray analyst Gene Munster sees the overall effect on Apple as neutral.”
“In some cases, consumers might update to the iPhone 6 to score the bigger screen instead of keeping an older phone and buying an iPad Mini, Munster suggested in an investors note released Monday,” Whitney reports. “In other cases, iPhone 6 buyers who want a second device might simply choose an iPad Air instead of a Mini.”
“Cannibalization concerns were also tossed around when Apple introduced the first iPad Mini in 2012. Apple watchers wondered if the new Mini model would steal sales away from its bigger sibling,” Whitney reports. “In some ways, the point is moot. As long as overall demand and revenues stay strong, Apple benefits no matter which product is luring in the customers.”
Read more in the full article here.
[Thanks to MacDailyNews Reader “Dan K.” for the heads up.]
These analysts simple can’t help themselves.
What do you expect… they’re analysts.
Not even one mention of Apple’s cannibalization strategy… always cannibalize your own products… or risk someone else doing the same.
“In some ways, the point is moot. As long as overall demand and revenues stay strong, Apple benefits no matter which product is luring in the customers.”
I think they may have actually gotten that point.
Besides, it makes little sense since bigger version of iPhone will cost much higher than iPad mini; not a lot of competition here in prices aspect.
Most iPad Mini’s sell for less than a comparably specced iPhone, so how is cannibalization a problem?
A bigger iPhone will likely still run iPhone apps and not iPad apps.
there are currently over 500,000 iPad ONLY apps.
And not all of us will be suckered in to buying a stupid, big face phone. This is not the 70s. I’m still going to buy a mini and the iPad Air.
OK, you bitch and complain about no stupidly big iPhones and the minute you think that the iPhone Large is on the horizon, you bitch and complain about the lost iPad mini sales.
Life is a bitch, go out and play in traffic. It is much more fun and the cardio benefits are through the roof.
Uh, blood pressure check – stat!
no
Not from a 4.7 device, but from a 5.5? yeah, sure.
Even though iPhones and iPads both run iOS, there is still a difference in many of the apps.. Over 500,000 iPad only apps with more robust user interfaces to take advantage of the larger screens. Even if a 5.5″ phone is released, Apple would likely only allow it to run the standard iPhone apps to help prevent cannibalization.
I told myself i would never buy a Phablet…
But knowing Apple, they might actually make one that will save me from having to buy 2 devices… and at the same time have just use my data plan if needed…
Nope it won’t.
Next subject..
Will bigger-screen iPhones cannibalize iPad mini?
√ Yes.
The QED phablet: Stick cell phone gear into an iPad Mini.
Next Question Please…
The mini is too big to be a phone, whereas most of the so called phablets are still portable enough. They fit in the pocket comfortably and are still ok to hold. 6″ and with good design is about the maximum size a phone can be.
I agree. But some of the Samsung phablets are HUGE and IMHO as ridiculous as sticking phone hardware into an iPad Mini. I was therefore being ridiculous.
Yes some are huge from what I have tried 5.5-5.7″ are fine. I spent a little time with a Samsung Mega and at 6.3″ it was too big for a phone for sure. 5.5″ is a nice size if you prefer a bigger screen. Personally I would prefer a bigger iphone to be 5.5″ and to be a more balanced shaped. Long and thin will not suit a larger phone.
It’s going to have a lot to do with cultures, size of people’s hands, the fab fashion, etc. I suppose with time it will be easier to manufacture whatever size fits the current whim or country of sale.
For me, a 5″ iPhone would be fine. But I’m happy with the current size for simplicity and function.
Spot on Colin.
two few products, too many products, make up your mind.
you don’t want to give a cell connected iPad to a kid. done.
Yes you do. I don’t want to make my daughter look for a wifi hotspot just to FaceTime me if she needs.
Anyway, she has an iPhone.
I get this hint from your comment that cellular providers in the US charge a boatload of money for 3G. Dunno, but it’s sad if true.
What is the profit margin on an iPhone compared to an iPad mini? If it’s more, is the increased cost of a larger iPhone the same as or more than a regular iPhone and an iPad mini? Plus, if the analysts are right millions of android users only buy them for the big screens so the increases sales should more than offset any slight losses elsewhere. I think perhaps there could be more to it than a simplistic view that people will just stop buying iPad minis.
Uh, no.
Apple has never been overly concerned about one of its products cannibalizing another one of its products…..
To me, a larger iPhone still doesn’t make the greatest media consumption device. I much prefer to use my iPad Air. Prior to getting my Air, I did use my iPhone a lot for various tasks. Now that I have it, I pretty much use it as a phone, and to keep track of my itinerary.
The other thing I like to use my phone for is as a GPS when traveling. A larger phone would be most welcome when used as a GPS. Soon though, that will become a moot point because of AirPlay.
So for the convenience, price and practicality, I think I’ll stick with the current sized iPhone. Get AirPlay in my vehicle for when I travel, and use my iPad a my primary consumption device.
Poor old MacBook Pro pretty much just collects dust these days.
I meant to say CarPlay, not AirPlay. Wish this site allowed editing after posting a message.
Actually an iPhone to a cheap BIG ass dummy screen via AirPlay in my old car would be absolutely fabulous in my book. Or maybe I am just too dumb to think so simply about things.
I tend to agree with your take on the subject. So many think the iPhone should be the one and only device to do everything they forget it is a phone first and foremost. I much prefer to use my iPad Air for browsing and video. Even a 6″ phone is too small to make a good browser platform. But, guess it boils down to whatever floats your boat?
Totally agree.
I wouldn’t buy a bigger iPhone anyway – I have my iPhone for remote use and my iPad Air for work.
Sorted.
As long as Apple cannibalizes itself then no big deal.
Oh! But any decline in ‘growth’ will spell doom for the company! Doom, I tell you! Doom!!!
Nope, never.
No, because any large phone will have a higher margin because of the subsidy and will only run blown-up phone UI with larger screen targets.
Will Color TVs cannibalize the sale of B&W TVs? Will cars with 4 cylinder engines cannibalize the sale of cars with 6 cylinder engines? Will loafers cannibalize the sale of shoes with laces?Wake up people…. technology does change the future. Get over it!!
It’s not the people you should chastise it’s the freakin’ analysts.
“Cannibalization concerns…”
These people clearly do not have even an kindergarten understanding of business. As the saying goes, “You either cannibalize your products, or your competitors will.”
I think he finally talked some sense into himself:
“In some ways, the point is moot. As long as overall demand and revenues stay strong, Apple benefits no matter which product is luring in the customers.”
For apple’s sake, one would hope so. People will probably replace phones far more often than tablets.
If Apple switches from a
3.5″ iPhone (4S) 4″ iPhone (5c & 5s), 7.9″ iPad (iPad mini) and 9.7″ iPad (iPad4 & Air)
to a
4″ iPhone (5c or 5s), 4.7″ iPhone (6), 5.5″ iPhone (“6XL”), 7.9″ iPad (iPad mini) and 9.7″ iPad (iPad4 & Air)
set of devices,
then there absolutely will be *some* cannibalization of the 7.9″ iPad mini by the 4.7″ and 5.5″ iPhones.
The question is, “How much cannibalization?”
Personally, I believe the answer is, “Not much. There is a huge difference in screen real estate and usability between a 5.5″ screen and a 7.9″ screen.” Just remember that Jobs said they can’t figure out how to make an excellent user experience for a *tablet* with a 7″ screen. Apple went with a 7.9″ screen for a reason. That 0.9 inches does make a difference (at least in my personal experience playing with various brands).
Those few that are happy with a 5.5″ to do both phone and tablet type work will just by one.
The real bottom line is this, “Will Apple sell more units *overall* and make more money *overall* if it does a 4.7″ *and* 5.5″ iPhones as well as the 7.9″ iPad mini?” I believe the answer is completely obvious to even the most casual observer: “Yes!”
I have a iPhone 5S, iPad Air, MBA, and a iMac. I’m not looking for a bigger iPhone or a smaller iPad. I thing some people miss the power of a small powerful device. I use each of my devices for their strengths. my iPhone is strong because it is fast and small. It is easily carried. It fits in my pockets nice and doesn’t show. My iPad is just the tight size to also be portable and powerful. I dress it like a book and carry it as such. It had effectively replaced my MBA. speaking of my MBA, it is used very limited, and I don’t intend to replace it for a few more years if at all. Use of my iMac is up sharply thanks to the cloud and interaction with my iOS devices. My system works, the right tool for the right job.