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  • Apple Suppliers Expect Sales of the iPhone 6 to be 20% Greater than iPhone 5S


    Suppliers in the Far East appear to be gearing up for Apple’s next-gen iPhone and are reportedly anticipating 20% growth from last year’s iPhone 5S launch, setting the stage for the biggest iPhone debut yet. Analyst Katy Huberty of Morgan Stanley recently took a trip to visit technology industry component suppliers who shared their expectations for Apple’s next iPhone. From these conversations, Huberty said in a note to investors that she sees no major bottleneck for “iPhone 6” components, suggesting that Apple and its suppliers may not have a difficult time keeping up with demand.

    The Cupertino California company doesn’t break down iPhone sales by model, so it’s unknown exactly how well the iPhone 5S sold at launch compared to the iPhone 5 a year prior. However, total iPhone sales in the December 2013 quarter were up just 6.7% year over year, which was a much slower growth rate than the company had previously seen. The indications from suppliers suggest that Apple’s next iPhone, which is rumored to come with a larger display could reignite sales growth.

    Huberty expects that the next iPhone could have a bill of materials roughly $20 to $30 higher than the current iPhone 5S, largely due to the expectation of a larger display and improved camera. She wrote the following regarding the matter:

    However, we don't detect any abnormal component pricing pressure from Apple suggesting lower inventory, deprecation, and warranty costs along with the potential for a modest price increase and/or NAND mix change may help digest the higher (bill of materials).
    Beyond the iPhone, Huberty expects the rest of 2014 to be weak for the tablet market including Apple’s iPad. Her conversations with suppliers led her to forecast iPad shipments will decrease by 1% in the second half of the year and through 2015. Suppliers are also said to be skeptical about wearable devices, which leads Huberty to believe that the nascent market could provide an upside surprise in 2015 volumes. She predicts that if Apple were to launch a so-called “iWatch,” it would outsell the iPad in its first quarter.

    We’ll have to wait and see how things go.

    Source: Morgan Stanley via AppleInsider
    This article was originally published in forum thread: Apple Suppliers Expect Sales of the iPhone 6 to be 20% Greater than iPhone 5S started by Akshay Masand View original post
    Comments 9 Comments
    1. Donnutt's Avatar
      Donnutt -
      Coming this year, the iPhablet!
    1. Nerd's Avatar
      Nerd -
      Here is the youtube video of iphone 6 in vietnam.

      https://www.youtube.com/watch?featur...&v=QuvEPKxtT28
    1. glgbnaf's Avatar
      glgbnaf -
      If so they better get to making them so no stupid back orders

      @ nerd I think that's all rumor mill you should know that, you tube has a bunch of that for months
    1. Donnutt's Avatar
      Donnutt -
      Quote Originally Posted by Nerd View Post
      Here is the youtube video of iphone 6 in vietnam.

      https://www.youtube.com/watch?featur...&v=QuvEPKxtT28
      I hope not... I really don't want a bigger iPhone.
    1. bigboyz's Avatar
      bigboyz -
      Looks like the YouTube vid is a 6S. It has the gold trim around the Home button. Unless Apple is bringing the finger scanner to the 6 in Aug/Sept?? More rumors please :]
    1. romeo_herman's Avatar
      romeo_herman -
      Look like gummy phone...
    1. unison999's Avatar
      unison999 -
      I would be interested in 6 only if it has a larger screen actually.
      Same size = same size fonts = can't read unless magnified which is pain in the butt.
    1. glgbnaf's Avatar
      glgbnaf -
      Agree there iPhone needs to be bigger, the 4 inch screen is for people 4 small hands

      Quote Originally Posted by Donnutt View Post
      I hope not... I really don't want a bigger iPhone.
      You must have lady hands most MEN here have real hands and apple needs a bigger screen 7 years same look same phone, it's nearly 2015 time for change hard to type on small screen
    1. edwilk55's Avatar
      edwilk55 -
      Watch Apple eff us like they did when the 4S was released...no 5 mentioned. That was a huuuuge letdown.