Surprising Apple iPhone 11 launch details leak
The Apple iPhone 11 devices are expected to be unveiled in early September with its launch scheduled for later on in the month. Now, new details have emerged from Wedbush analyst Daniel Ives claims that all iPhone 11 models will launch in September.
This new release schedule would be a stark change from the last two years. In 2017, the iPhone 8 and iPhone 8 Plus launched in September while the iPhone X made its debut in November. In 2018, the iPhone XS and iPhone XS launched in September while the lower-end iPhone XR launched in October.
Ives claims that the new iPhone 11 handsets will hit shelves in the second week of September which will be a bit earlier in comparison with previous launch cycles. Earlier, SoftBank President, Ken Miyauchi let it slip that the upcoming iPhone handsets would hit shelves by September 20. Talking about the pricing structure, Ives believes that there will be no deviation from last year.
As per the research note, Ives claims that there will be a potential impact on iPhones due to the ongoing trade war between the US and China. US President Donald Trump said that a 10 per cent tariff will be added on USD 300 billion of Chinese goods starting from September 1. This would encompass the new iPhones and several other Apple products.
Ives has agreed with Apple analyst Ming-Chi Kuo by claiming that Apple won’t be passing these additional costs to consumers. Ives states, “With ~40% of iPhones sold globally coming out of the U.S. heading into an important trifecta smartphone launch, at this point, we DO NOT believe Apple will pass these tariff costs to US consumers on the new smartphones hitting the market this September … If the tariffs go ahead as planned this will reduce FY20 EPS by roughly $0.50 to $0.55 based on our $12.80 estimate for the year with Apple looking to (at this point) absorb this first round of tariffs.”
While Apple won’t be passing these costs upfront to consumers, Ives believes that this could change if a China deal isn’t reached. This would mean that an iPhone will cost anywhere between USD 75 to USD 100 more. If Apple plans on passing these costs on to its consumers, it could cost Apple anywhere between 6 million to 8 million handsets in the US alone. This data is based on the predictions of 185 million iPhones sold for the financial year 2020.
The 2019 iPhones should consist of three new models and this will include two smartphones with OLED displays and one with an LCD display. These upcoming smartphones will be the same size as the iPhone XS, iPhone XS Max and the iPhone XR.
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