Robert Cihra, an analyst at Guggenheim Securities, predicts massive shipments for iPhone XR. According to him, this smartphone will far exceed the iPhone 8 and iPhone 8 Plus. However, its lower price may affect its overall revenue. The launch of the iPhone XR may help drive market demand and fourth-quarter revenue.
Gizchina News of the week
Robert Cihra pointed out that the “growth through average selling price” in 2017 does not apply to Apple this year. The lower price of the iPhone XR is expected to lower the average selling price of the iPhone partly because Apple is considered to have made enough improvements on this LCD model, which will be about 50% higher than last year’s iPhone 8 series shipments.
At the same time, he also said that the iPhone XR may allow some users who use the iPhone 7 or iPhone 6 to upgrade to the new model. The analyst estimates that the iPhone XR will account for 40% of Apple’s total sales in December and will rise to over 50% in March next year. Apple will announce its new quarterly earnings report on November 1. It expects iPhone shipments to be 47 million units, up 1% year-on-year. Q4 shipments will increase to 80 million units, up 3% from the same period last year.
