iPhone Expected to See Massive Growth in the Year 2018 with Successful Run Ending in 2020, Says Analyst

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Sep 7, 2017
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Good news and bad news looms ahead for Apple, according to a securities firm analyst. The iPhone has been reported to bring in massive growth for the company starting from 2018, but its run is expected to stall in 2020.

Chart Shows That iPhone Will Contribute Towards Apple Growth for a Three-Year Period – Price of Premium Devices Might Decrease Due to Increased Suppliers

Guggenheim Securities analyst Robert Cihra believes that the iPhone is expected to see massive growth during the 2018 calendar year, though that growth is expected to shed off some momentum towards 2020. Part of this growth is going to be because of the highly anticipated iPhone 8, which is going to be announced next week with pre-orders going live as early as September 15.

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Though a lot of numbers crunching might have gone through to see how the iPhone lineup is going to contribute to Apple’s growth, but what the analyst fails to note is if Apple is going to change up its game plan for its product that has essentially been the bread and butter for the company.

Perhaps his analysis on the matter is if Apple maintains the same design without making too many significant changes, although that is not what previous rumors are suggesting. 2018 lineup of iPhones is said to feature a 6.46-inch screen for the biggest version, whereas the largest screen size we have seen to date from the company is 5.5 inches.

Starting from 2018, we expect Apple to maintain OLED screens for all iPhones, but there are chances that consumers might have to pay an extra premium for those models too. With Samsung being the sole supplier of these panels for Apple, an analyst believes that the Korean manufacturer is charging the latter between $120 to $130 per display component, forcing Apple to increase the retail price to a rumored $900 to maintain healthy margins.

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LG Display might end up partnering with Apple starting from 2019, which might give the tech giant leverage over component pricing, but by how much exactly?

Do you feel Apple will end up having another primary revenue generator other than the iPhone in a few years? Tell us your thoughts down in the comments.

Source: Business Insider

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