Analyst: Apple could grab $5 billion in sales from new 4-inch iPhone

“Amit Daryanani of RBC Capital Markets issued a note to investors this week,” Neil Hughes reports for AppleInsider, ” in which he laid out his forecast for Apple’s so-called ‘iPhone 5se’ expected to debut in March.”

“He believes the 4-inch iPhone will sell more than 10 million units, but with some cannibalization of larger models, the net effect will be 10 million additional sales,” Hughes reports. “His forecast calls for the average selling price of the 4-inch iPhone to be $550, adding 23 cents to Apple’s earnings per share, or about 2 percent to its fiscal year 2016 totals.”

“As to who the “iPhone 5se” is for, Daryanani believes it could drive upgrades for users on three-plus-year old iPhone models, specifically those still running the iPhone 5c or iPhone 5s,” Hughes reports. “He sees the new 4-inch model being a boon particularly in markets like India… Apple’s new 4-inch iPhone is expected to include a metal-backed, curved-edge design similar to the current iPhone 6s with refreshed internals like an A8 or A9 processor and NFC support for Apple Pay. ”

Read more in the full article here.

MacDailyNews Take: If this iPhone appears with a “5” in the name, Apple will have made a mistake. They’d sell more units with a current model number “6” in the name – and with Apple Pay support and similar design cues, it deserves not to be saddled with a name connoting “old” technology.

This new 4-inch iPhone should be named “iPhone 6c.” The “c” stands for compact.

10 Comments

    1. Yes, these models will certainly cannibalize the higher-end models to some degree, so automatically Apple shareholders will not win in any case. No matter what strategy Apple attempts it will be seen as a loss instead of a win.

      I see in India, there’s a $4 (FOUR DOLLARS!) Ringing Bells Android smartphone the iPhone has to compete against. There goes the iPhone’s market share in India. It will again be stressed how Apple is totally doomed. It will be said that $4 smartphone is just as good as an iPhone and Apple is charging too much for smartphones.

      1. India is not as simple a market as many people imagine. While there is undeniably a great deal of poverty, there is also a very large, aspirational middle class who want to buy good equality goods and to be seen using them. An iPhone is very much in that territory and I am delighted that Apple is treating the Indian market seriously.

        It’s worth bearing in mind that Mercedes Benz started putting a lot of effort into the Indian luxury car market about twelve years ago and is now benefitting from impressive growth in sales within India.

  1. I have hung onto my 5, solely due to size- I don’t like either of the present Sixes- too big. But I will not be happy if a new normal-sized iPhone comes out not an evolution of the 6, but a tepid 5 with ‘add-ons’.

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