New Low-Cost iPhone to Enter Mass Production in February




 

(Bloomberg) -- Apple Inc. suppliers plan to begin assembling a new low-cost iPhone in February, people familiar with the plan said, as the company looks to address a wider swath of the global smartphone market ahead of its 5G handsets later this year.

The Cupertino, California-based company is expected to officially unveil the new phone as early as March, one person familiar with its road map said. The assembly work for the new handset will be split among Hon Hai Precision Industry, Pegatron Corp. and Wistron Corp., the people added.

This will be the first lower-cost iPhone model since the iPhone SE. It will look similar to the iPhone 8 from 2017 and include a 4.7-inch screen, Bloomberg News has previously reported. The iPhone 8 is still on the market, currently selling for $449, whereas Apple sold the iPhone SE for $399 when that handset launched in 2016.

The new phone is expected to have Touch ID built into the home button, reusing established Apple technology instead of opting for an in-display fingerprint sensor like most modern Android rivals. It will not have Apple's Face ID biometric authentication, but it will feature the same processor as Apple's current flagship device, the iPhone 11.

An Apple spokeswoman declined to comment.

Apple Expects IPhone Shipments to Return to Growth in 2020

Apple's more affordable iPhones have proven popular with consumers, including the latest iPhone 11, whose starting price was $50 lower than Apple's typical pricing. Strong demand for iPhones has prompted Apple to ask Taiwan Semiconductor Manufacturing Co. to make more chips in the current quarter, according to two people familiar with the matter.

Apple is planning a slew of new high-end iPhones for release later in 2020 that include 5G connectivity, faster processors, and new 3-D cameras on the back, Bloomberg News has reported.

A cheaper offering may help Apple better compete in the most price-competitive and fast-growing emerging phone markets, particularly India. iPhones are still a hard sell in the country, which is overrun by aggressively-priced Android rivals coming in at less than $200. Still, Apple has shown a will to carve out a niche for itself and is eyeing locations for Apple stores within its borders.

The U.S. tech juggernaut is hoping its handset shipments will return to growth this year, having set itself the goal of shipping more than 200 million units in 2020. The successor to the iPhone SE will play a significant role in that task.

To contact the reporters on this story: Debby Wu in Taipei at dwu278@bloomberg.net;Mark Gurman in Los Angeles at mgurman1@bloomberg.net

To contact the editors responsible for this story: Peter Elstrom at pelstrom@bloomberg.net, Vlad Savov

For more articles like this, please visit us at bloomberg.com

Subscribe now to stay ahead with the most trusted business news source.

©2020 Bloomberg L.P.

COMMENTS

More Related News

Caught in China-U.S. trade war, Taiwan offers support to chipmakers
Caught in China-U.S. trade war, Taiwan offers support to chipmakers

Taiwan President Tsai Ing-wen promised on Thursday to help the island's key semiconductor industry overcome difficulties and consolidate its leading position, offering support to a sector increasingly caught up in China-U.S. trade tensions. Companies such as the world's biggest contract chipmaker, Taiwan Semiconductor Manufacturing Co Ltd, are major suppliers to the likes of Apple Inc and Qualcomm Inc, as well as Chinese firms like Huawei Technologies Co Ltd. In July, TSMC said it had stopped taking new orders from Huawei in May and did not plan to ship wafers after Sept. 15, responding to U.S. curbs on supplying the Chinese company, which the Trump administration views as a security...

Apple (AAPL) Has Risen 98% in Last One Year, Outperforms Market
Apple (AAPL) Has Risen 98% in Last One Year, Outperforms Market

If you are looking for the best ideas for your portfolio you may want to consider some of RiverPark Advisors top stock picks. RiverPark Advisors, an investment management firm, is bullish on Apple Inc. (NASDAQ:AAPL) stock. In its Q2 2019 investor letter - you can download a copy here - the firm discussed its investment […]

The Morning After: Tesla
The Morning After: Tesla's $25,000 EV, and its 200 MPH-capable Model S

The Xbox Series X and S pre-orders started roughly on time, and Tesla's battery day brought word of EVs that will be cheaper and faster than ever.

Chevron asks employees to delete WeChat after U.S. ban - Bloomberg News
Chevron asks employees to delete WeChat after U.S. ban - Bloomberg News

A U.S. judge on Sunday blocked a government order requiring Apple Inc and Alphabet Inc's Google to remove WeChat for downloads on national security grounds. The U.S. Commerce Department said on Monday it would challenge the order.

Chevron asks employees to delete WeChat after U.S. ban: Bloomberg News
Chevron asks employees to delete WeChat after U.S. ban: Bloomberg News
  • US
  • 2020-09-23 07:43:26Z

A U.S. judge on Sunday blocked a government order requiring Apple Inc and Alphabet Inc's Google to remove WeChat for downloads on national security grounds. The U.S. Commerce Department said on Monday it would challenge the order.

Leave a Comment

Your email address will not be published. Required fields are marked with *

Cancel reply

Comments

Top News: Economy