“Android handset makers could end up in a world of hurt if Apple cuts the price of the standard iPhone lineup,” Adrian Kingsley-Hughes writes for ZDNet. “All indications suggest that the tenth-anniversary iPhone 8 (or whatever it ends up being called) is going to come with a hefty price tag, around the $1,000 to $1,200 mark. One prominent Apple watcher has suggested that Apple could use the windfall from the sale of the iPhone 8 to slash the price of the iPhone 7s/7s Plus.”
“Despite only accounting for about 20 percent of handset shipments, Apple set the price bar for premium smartphones, and as such pulls in some 85 percent of the market revenue,” Kingsley-Hughes writes. “The Android market is dominated by mid-priced and budget Android devices, a segment where profit margins are razor thin (or is some cases, non-existent. Companies such as Samsung are heavily reliant on sales of premium Android handsets, and anything that upset that could be bad.”
MacDailyNews Take: Let’s hope for very, very bad, okay? 🙂
“Apple could be getting ready to upend the entire market,” Kingsley-Hughes writes. “The company is in a unique position to be able to release a higher-end, higher-priced Cupertino giant and use the massive cash that would generate… to essentially subsidize the rest of the iPhone line.”
Read more in the full article here.
MacDailyNews Take: Enjoy the impact at the finish line as your race to the bottom barrel gathers speed, iPhone knockoff peddlers!