Apple iPhone 5.8-inch variant to be the cheapest model in 2018

Apple to cut down the iPhone price this year.

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Apple will be unveiling the next iteration of its flagship iPhone in September this year, and if the reports are to be believed, the company will launch three models - a 6.5-inch OLED variant, a 6.1-inch LCD model, and a 5.8-inch OLED variant.

Apple iPhone 5.8-inch variant to be the cheapest model in 2018

Price cut
 

Price cut

Now a new report claims that the 5.8-inch OLED model will be the cheapest among the three. This also means that the price of the iPhone can drop down from the hefty $999.

According to Digitimes Research analyst Luke Lin, the upcoming 5.8-inch iPhone will have 10 percent lower total bill of materials (MBOM) compared to the current model. The report also claims that the Phone X MBOM was more than $400 last year.

Lin also states that Apple planned on launching an LCD version of the 5.8-inch iPhone. However, the project was shut mid-February and maybe eventually terminated." Lin says that engineering samples show that the 5.8-inch model comprises of components with lower specs compared to the 6.1-inch LCD iPhone.

The growth

The growth

Apple iPhone's business has seen lower growth, but higher predictability, according to analyst Gene Munster survey responses. In a survey of 511 users, Loup Ventures found 226 iPhone users, out of which 22 percent people are planning to upgrade to a new iPhone 2018 model slated to launch this September.

The numbers compare to 23 percent when the company was expected to launch the iPhone X, and 15 percent before the iPhone was launched. Additionally, 20 percent users expect to upgrade to an iPhone 8 or iPhone X by 2019, bringing the total share up to 42 percent.

What to expect
 

What to expect

All three devices are expected to feature "Face ID" feature and lose the home button in favor of iPhone X's gestural navigation. The 6.1-inch iPhone device will not get a dual camera nor 3D Touch, according to a previous KGI report. Interestingly, other features expected to come to the iPhones are Gigabit LTE connectivity and dual SIM standby. However, we are not sure if Apple will incorporate Intel's new modems that will facilitate with this functionality.

KGI Securities analyst Ming-Chi Kuo has also estimated that Apple will ship about 18 million iPhone X units in the January-March quarter in 2018.

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