Apple is expected to unveil its new iPhone range on Tuesday with increasingly efficient chips and lenses and possibly the universal charging port introduced by the European Union, much to the chagrin of the Californian giant.
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It’s not the kind of technological innovation Apple likes to highlight, but a Brussels law requires electronic device makers to equip all new smartphones, tablets and cameras with a USB-C port by the end of 2024.
“Rumors suggest that Apple will introduce USB-C this year rather than waiting until next year to comply with European regulations,” notes Techsponential’s Avi Greengart.
AFP
A small revolution for Apple’s ecosystem of products and services, which is difficult to integrate into other systems.
“This will annoy many Apple users (…), but they will get used to it and have no other choice,” the analyst continues.
Two years ago, when the text was being discussed, the American group tried to oppose it.
The Apple brand argued that its “Lightning” technology is equipped in more than a billion devices around the world and estimated that the new regulations would “stifle innovation” and “harm consumers.”
The iPhone 15 Pro and iPhone 15 Pro Max are expected to replace the mute switch with an action button that could be programmed with some of the following actions:
– Silent mode on/off
– Turn flashlight on/off
– Run a shortcut
– Start voice memo
– Accessibility
-Start camera… pic.twitter.com/zzslQt5Fh4— Apple Hub (@theapplehub) September 12, 2023
For the European Union, on the other hand, it is about making their lives easier and reducing the amount of electronic waste generated by outdated chargers.
“The common charger is common sense and it is within reach,” welcomed EU Commissioner Thierry Breton in a statement sent to AFP on Tuesday. The measure is expected to save European consumers €250 million each year.
Tuesday’s marketing event is called “Wonderlust,” a made-up word that combines “wanderlust” and “wonder.” It is pre-recorded and broadcast online and is typically viewed in real time and on a delayed basis by millions of people.
After a disappointing quarter in iPhone sales and the year-end holidays approaching, the company needs to intrigue the public.
Especially if the products become more expensive, as many market observers expect.
“Apple is expected to significantly increase prices on “Pro” models,” predicted Insider Intelligence’s Yory Wurmser, “due to higher production costs,” between inflation and a saturated supply chain.
“It will be interesting to see what features are highlighted and whether Apple manages to justify higher prices,” he added.
From April to June, Apple reported its third consecutive quarter of year-over-year revenue decline (-1.4%) to $81.8 billion.
The reason for this is a 2.4% decline in sales for the flagship iPhone product.
AFP
For analyst Dan Ives, it’s a good time to raise prices for the new range as computer chips gain capacity and batteries last longer.
He also expects “massive promotions from American operators in the coming months” that should allow “to sell more iPhones and mitigate the impact of a slight price increase.”
Apple has a “golden installed base,” recalls the Wedbush expert, pointing to the loyalty of users of the brand’s devices.
However, he clarifies: “We estimate that around 25% of the 1.2 billion people who own an iPhone have not updated their phone in four years.”
Dan Ives isn’t worried about the bad news from China either.
Information that Beijing has banned the use of iPhones in certain administrations and state-owned companies caused the US company’s shares to plummet on the New York Stock Exchange last week.
If expanded, such measures would pose a challenge for Apple, as China is its largest overseas market but also largely its most important manufacturing center.
In two days, the stock lost more than 6%, reducing its market capitalization by more than $200 billion to $2.776 billion.
“This iPhone ban by the Chinese government is greatly exaggerated,” said Dan Ives. “Fewer than 500,000 iPhones are expected to be sold in China in the next 12 months, out of a total of around 45 million.”