"Apple Slashes Production Cost For Cheap New 5.8" iPhone X

Apple iPhone

Ming-Chi Kuo, KGI Securities analyst said that the TrueDepth camera system was the main reason behind the problems because of its complicated facial recognition technologies.

Analysts John Donovan and Steve Mullane of the boutique BlueFin Research Partners this morning report that they are cutting numbers again for the iPhone, in particular the iPhone X, after chopping their numbers back in February.

Apple is expected to launch three models this year.

Citing cost concerns, Apple initially expected the 5.85-inch model to use an LCD, than the more expensive OLED. According to new information, the 5.8-inch variant of the 2018 iPhone will be cheaper to manufacture, despite the OLED display. In that case, the premium would likely be justifiable since Apple would be delivering much more value in the form of a larger device for roughly the same price as the current iPhone X.

According to a Bloomberg report, Apple is planning to launch three iPhones in 2018.

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If Apple plans to do something interesting like offer the next-generation iPhone X at $899, or even $849, for the baseline model, then a $150 premium for the iPhone X Plus would price it around where the current iPhone X is.

While Apple may still save some of its new hardware reveals for WWDC 2018, which kicks off on 4 June, this dedicated, invite-only Apple event in Chicago seems to indicate something major is about to land. Additionally, 20 percent users expect to upgrade to an iPhone 8 or iPhone X by 2019, bringing the total share up to 42 percent.

iPhone sales did miss expectations during Apple's most recent quarter, but CEO Tim Cook said that the "iPhone X surpassed our expectations and has been our top-selling iPhone every week since it shipped in November".

Apple revolutionized the mobile market forever with its first touchscreen iPhone. While the display on the iPhone X is extremely color accurate, it's still not quite flawless. The deal was compensated by giving the Korea-based panel supplier advanced orders for more bargaining chips for the upcoming next-generation iPhones.

According to the report, Apple's Santa Clara facility is now capable of manufacturing a handful of Apple Watch-sized screens at a time and will scale up the process over the next two years so that either contract manufacturers or Apple itself can produce the screens in mass quantities. The third option, meanwhile, will have an edge-to-edge display and Face ID similar to the iPhone X but with an LCD display and aluminum edges.

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