Apple discontinuing the iPhone X in 2018 makes complete sense

Jon Howard
January 23, 2018

Paying an ultra-premium for the iPhone X is the sacrifice that consumers will need to make to get their hands on the utterly bezel-less iPhone. This means that it could really depend on your luck, as well as the service provider who may or may not allow you to get a free upgrade. Because of that, Kuo predicted Apple will place the iPhone X into an end-of-life cycle in the summer of 2018, stopping production on the device and removing it from its lineup.

Rosenblatt analyst Jun Zhang comes out swinging strong for the bullish camp, making a case that "iPhone X cuts are not as severe as the Street fears". KGI claimed that the successor to iPhone X- the 6.1-inch LCD display model will be priced significantly lower around $650-750 range.

While the Chinese customers are expected to prefer smartphones with larger screens, KGI believes that the change in the iPhone's screen design did not impress the market, citing it had smaller usable screen space compared to other iPhone models with 5.5-inch displays. However, if Apple does have another OLED iPhone planned for next year sporting Face ID, then I wouldn't be too surprised to see the X discontinued.

Apple is reportedly planning to discontinue the iPhone X later this year; rather than keep it around at a lower price when the new model launches, according to KGI Securities analyst Ming-Chi Kuo. In terms of company financials, bigger-screened iPhones are also more expensive contributing to higher iPhone ASP and revenue.

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Kuo told investors that Apple would three iPhones this fall - a 5.8-inch OLED iPhone, a 6.5-inch model, and a 6.1-inch LCD model. Kuo did not talk about the iPhone X sales during the 2017 holiday shopping season.

In a new report, an analyst says the new model's disappointing sales could lead to the phone being cancelled - with production stopping as soon as this winter.

The Sun has asked Apple whether the iPhone X will remain on sale throughout the whole of 2018, and will update this article with any response.

Tweaking prelaunch expectations, the analyst now looks for a 20% reduction in iPhone X and iPhone 8/8 Plus orders for the first fiscal quarte of 2018, or between 10 and 11 million units.

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