Technology

New Apple Exclusive Reveals Lower Than Expected Price for iPhone 14

08/06 Update below. This article was originally published on August 03

Apple leakers have always agreed on one thing: iPhone 14 models are becomes more expensive. That is, until now.

in a new blog post, an anonymous leaker Lanzuk revealed that Apple had “decided to freeze the introductory price of the base model iPhone 14 by a decision at the highest level of management”. And given Lanzuk’s strong track record, there’s every reason to believe so.

Lanzuk explains that Apple’s decision was based on “the sluggish global mobile phone market and declining demand…so the price of the base model is frozen despite some price-raising factors.” .

Detailed by other leaks, these factors include an increase in component prices due to shortages and Apple upgrading several key elements of the iPhone 14 lineup. Most notably, an all-new front camera module from LG Innotek, which according to leaks is triple the price of its predecessor.

Lanzuk is no doubt aware of the shock and potential disbelief his news will generate and points out that his information comes from a rock-solid source within a “major American financial institution”. Moreover, Lanzuk has a track record that deserves respect. While the initiate had the occasional lackthere have been a number of specific leaks for Apple and Samsung devices Last year.

Update 08/05: New information has leaked regarding the launch of the iPhone 14, and that’s more good news. Influential analyst and industry insider Ming-Chi Kuo reports that Apple has successfully expanded production of the next base model in India ahead of its release.

“Foxconn’s iPhone production site in India will ship the new iPhone 14 6.1″ almost simultaneously with China for the first time in 2H22 (India being a quarter or more behind in the past),” Kuo explained. “In the short term, Indian iPhone capacities/shipments still have a huge gap with China, but this is an important step for Apple in building a non-Chinese iPhone production site.

My contacts believe this strategy will pay off immediately, with Apple able to provide substantial stock of iPhone 14s for its September release. This stands in stark contrast to the supply chain issues facing the iPhone 14 Max. While Kuo expects the new 6.7-inch model to launch alongside the rest of the lineup, Ross Young, CEO of Display Supply Chain Consultants (DSCC), warned that “iPhone 14 panel shipments Max [are] still far behind until August.”

So if you’re considering buying Apple’s most affordable big-screen iPhone to date, I guess you’ll need to act fast when they go on sale.

Update 08/06: Speaking to me today, popular tipster AppleLeaksPro says the new prices match what he’s heard for several months. “The Pros are significantly more expensive to manufacture,” LeaksApplePro explained, citing the new punch-hole display, improved 48MP camera, stainless steel chassis (which differentiates costs from the iPhone XS), and A16 chipset.

“There are a lot of differences,” the leaker told me, saying Apple is expected to focus primarily on the iPhone 14 Pro models at launch. “I guess Apple will say little or nothing about the iPhone 14.”

AppleLeaksPro says the driver behind it all is “differentiation.” This matches similar moves Apple has taken to increase price and feature differences between standard and Pro models of iPad, Mac, and MacBook in recent years. The strategy has proven successful, although it’s harder to identify a feature that will make the iPhone 14 Pro models objectively geared towards professionals.

All of this means a split is opening up in the leak community. Last month, analysts at Wedbush explained that price increases across the line were inevitable because “prices have gone up across the supply chain, and Cupertino needs to pass those costs on to the consumer in this release.” “.

From what I understand, there is truth in both positions. Supply chain pressure is driving up costs, as are several new components in the iPhone 14 lineup (including new front cameras).

That said, I understand that Apple is also committed to making 2022 the year of differentiation between Pro and non-Pro models, even if that means swallowing some of the cost increases from the standard models. This is a big factor behind the iPhone 14’s similarity to its predecessor, both in design and performance, with the upgrades likely to be smaller than any previous iPhone upgrade. generational.

As a result, expect this to be one of the most controversial iPhone launches in recent years.

If correct, Lanzuk’s claim would mean the iPhone 14 would keep its asking price of $799 (instead of dropping to $899), which also raises hopes that the new iPhone 14 Max will also cost $100 less. at $899. These price points make sense, given Apple’s determination to expand the feature and performance gap to iPhone 14 Pro models, the price of which is expected to increase further:

  • iPhone 14 Pro – $1099 (iPhone 13 Pro $999)
  • iPhone 14 Pro Max – $1199 (iPhone 13 Pro Max $1099)

Also, I’d say Lanzuk’s claim still equates to an effective $100 price increase across the entire line. Indeed, the $799 iPhone 14 will replace the $699 iPhone 13 Mini as the entry-level model, and the $899 iPhone 14 Max will replace the $799 iPhone 13. Given their respective increases in screen size, these increases are also easier. for Apple to market to customers.

Will the iPhone 14 lineup be worth it? Design, camera and performance improvements on the Pro models certainly looks so, but with a potential transition from Lightning to USB-C in 2023 I would still recommend caution if you don’t have to upgrade this year.

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