If the cost of the iPhone
and its corresponding
service plan has deterred you from purchasing Apple's popular phone, you'll like
this. Katy Huberty, a prominent analyst with Morgan Stanley, expects Apple
to introduce a new
iPhone in June that will be more economically friendly to its customers.
Huberty claims the cost of the iPhone hardware is the
biggest barrier to greater iPhone adoption. The service plan is also a large
barrier that's deterring adoption. In addition to her predictions that a new
iPhone will have a lower total cost of ownership, Huberty is also claiming the
new iPhone could include gesture-based functionality. "We expect Apple to
launch new iPhones in June that offer both a lower total cost of ownership and
new functionality, potentially including gesture-based technology," she
wrote in a note to investors.
As you'll recall, Apple dropped the price on the iPhone 3G
to $99 when it introduced the iPhone 3GS in 2009. However even with this lower
price, the higher end (and more expensive) iPhone 3GS was still more popular
The iPhone isn't the only Apple product that has people talking.
Huberty also has a few predictions regarding Apple's iPad
. More specifically,
Huberty expects Apple to ship 6 million devices in the 2010 calendar year. This
is significantly higher than Wall Street's average projections of 3 million to
"We expect Apple to ship its first iPad and announce
additional content deals in late March to better than expected demand,"
Huberty wrote. "We see the iPad targeting the sub-$800 consumer notebook
market which equates to 30M annual units just in the US (120M globally)."