A low-cost iPhone could see unit sales of 75 million in 2014, projects Piper Jaffray analyst Gene Munster.
In an investors note released today, Munster said he expects Apple to sell a $300 non-subsidized iPhone starting in September. Such a device is likely to trigger a 30 percent cannibalization rate, which means that for every three low-cost iPhones sold, one full-price iPhone is cannibalized.
As such, Apple's share of the high-end smartphone market may dip to 37 percent next year from 43 percent last year. But its share of the low-end (under $400) market will rise to 11 percent in 2014 from nothing in 2012.
Nearer term, Munster is eyeing flat iPhone growth for the current quarter ending in June, down from his prior forecast of a 15 percent gain. That would mean unit sales for the iPhone of around 26 million. As a result, Apple's overall revenues for the quarter are expected to reach $35.1 billion, down from Munster's
Wall Street in general is more optimistic, eyeing around 33 million in iPhone sales this quarter and around $39.6 billion in total revenue.
Rumors have been flying lately that Apple will unveil a low-cost, non-subsidized iPhone this year geared toward developing markets such as China. Some of those rumors have been driven by Apple analysts.
BTIG analyst Walter Piecyk. Piecyk believes Apple needs such a device to boost its earnings and market share. KGI Securities' Ming-Chi Kuo thinks Apple will start .
All the latest Apple news, featuring developments on the iPhone, iPad, Macbooks, OS X and much more.
Aug 22iOS 11 vs. Android Oreo: Who's winning so far?
Aug 22You may want to unlock the iPhone 8 with your face, not finger
Aug 20iPhone 8? Why would Apple call it that?
Aug 18Apple may soon let you rent movies fresh from the theater