Lather, Rinse And Repeat: The Reason For An 'iPhone mini' Begins And Ends With China
February 19, 2013
Another analyst is suggesting that a so-called “iPhone mini” is set to arrive later this year. The reason: China, of course, according to CNET.
Morgan Stanley analyst Katy Huberty is convinced that a less expensive iPhone would add another 20 percent to the 10 percent Chinese market currently enjoyed by the iPhone 5. As such, she believes Apple has no choice but to release such a product in China, sooner rather than later.
Huberty believes that the iPhone mini should be priced at $330, and that a deal between Apple and China Mobile is key.
China Unicom and China Telecom are the only iPhone providers in the world’s most populous nation. However, China Mobile, the nation’s largest cellular provider, remains a holdout.
Still, the analyst sees China Mobile as a major contributor to the growth of the iPhone, citing a few different factors. First, Apple would launch a new Mini model. Second, legislation for TD-LTE licenses and number portability could pass later this year or in 2014. And third, China Mobile would be more open to subsidizing higher-end smartphones on a TD-LTE network.Earlier this month, Huberty suggested that an iWatch and iTV could generate billions for Apple. She stated that together both products could generate $80 billion in new revenues for Apple. See also: New Data Shows Why China Is Such An Important Market For Apple, Research: Apple’s Smartphone Market Share Will Peak At 22 Percent In 2013, and Reuters Pulls ‘iPhone mini’ Story, But No One Seems Sure Why.