New leaks suggest that Apple is focusing more on developing iPhone 8. (Photo : YouTube/EverythingApple)
It is a gloomy prospect that awaits Apple in the immediate aftermath of the iPhone 7 release date this 2016 as one analyst predicts that not only the device will fall short of expectations but the competition will also outpace the tech giant on account of the next iPhone. To avoid such a specter, will Apple roll out the iPhone 7S instead?
Ming-chi Kuo of KGI Securities said in his latest research note that 2016 is not too rosy for the iPhone maker. Total sales will only log 190 million units by the end of the year, figures that are disappointing not only by Apple's standard but also by Wall Street estimates. It will be an 18 percent retreat from the overall iPhone sales recorded in 2014, MacRumors reported.
Part of the blame lies on the upcoming iPhone 7, which Kuo characterized as lacking in compelling selling points. "We don't see many attractive selling points for iPhone 7 in 2H16 and are conservative on 2H16F shipments," the KGI analyst was quoted by MacRumors as saying. Kuo, it should be noted, has made a name for issuing mostly accurate projections on upcoming Apple products.
The 4-inch iPhone SE is likely to see improved sales for the balance of 2016 but will hardly make a dent. "While we revise up 2016F iPhone SE shipments from 12mn to 18mn units, this won't offset overall iPhone shipments decline," Kuo wrote.
As a result, Apple stands to see dipping shipment figures in the year while the competition will witness growth. The KGI report named Samsung (which has a good momentum going with the Galaxy S7 and S7 Edge), Huawei, Oppo and Vivo as among the chief rivals that will benefit from Apple's decline.
However, Kuo is convinced that Apple can still reverse the impending retreat and that can be achieved by the next iPhone with a huge makeover, Apple Insider said in a report. "To sustain growth, the iPhone needs to come up with more innovative features to revitalize the user experience, for example in form factor design, software and hardware specs," the analyst said.
It appears that the iPhone 7 release later this 2016 is short of the fresh features that will lure in buyers in large numbers. The device is rumored to be slimmer, lighter and more powerful than the iPhone and will present key changes like the elimination of home button and 3.5mm audio jack but will prove insufficient to spur growth for Apple.
What could make the Apple cash register ring wildly is the purported major redesign that the iPhone 7S is, which Kuo said in an earlier report will ditch aluminum for its body casing in favor of OLED front glass panel and a rear that is also made of glass. The Apple watcher likened the 7S to the iPhone 4S and concluded that it will be stand out in the increasingly tightening smartphone flagships (made of metal) market.
Kuo, however, noted that the iPhone 7S will not come out until the second half of 2017. And the question is: Will Apple ditch the iPhone 7 and opt for an iPhone 7S release date just so to maintain its growth trajectory?
