The iPhone is changing. 2017 is the 10th anniversary of the iconic smartphone range and Apple AAPL +1.40% will celebrate with a radical new design and significant feature upgrades. But the downside to all these changes is becoming ever clearer…
Following independent reports for Nikkei, FastCompanyand famed Apple analyst Ming Chi-Kuo, Goldman Sachs has become the fourth major source to state the so-called iPhone 8 (also referred to as the iPhone 7S, iPhone X, iPhone Edition and simply ‘iPhone’) will be the most expensive phone Apple has ever made.
Whereas previous reports said the iPhone 8 could cost $1,000, Goldman Sachs says this will be the starting price for the new range which will sit above incremental iPhone 7S and iPhone 7S Plus updates:
"We expect the iPhone 8 to have 128GB and 256GB models priced at $999 and $1,099, respectively," said Goldman Sachs analyst Simona Jankowski in a research note seen by Business Insider.
The end result would be a 2017 iPhone line-up which the global finance giants believes will line up as follows:
- iPhone 7S: from $649
- iPhone 7S Plus: from $769
- iPhone 8: from $999
Add-in sales tax and even an entry level iPhone 8 will cost well over $1,000. Of course the big question this raises is…
Will The iPhone 8 Be Worth It?
On paper at least the answer: quite possibly.
The good news is, despite the price hikes, Goldman Sachs’ report also confirms all the biggest and best changes Apple is expected to make to the iPhone 8. These include a massive new 5.8-inch OLED display, a “no bezel, all screen” design, removal of the home button, “biometric authentication” (position unknown), an A11 chipset and no 64GB option.
Goldman Sachs points out the OLED display adds $35 to the overall cost, plus “3D sensing” (possibly in the camera) adds $20 and faster memory adds $16-$29. This is likely to be just the tip of the iceberg. Interestingly, despite some worryingly dull ‘Plan B’ leaks, Goldman Sachs says “we believe Apple has now locked down the design."
With a game changing (if flawed) Galaxy S8 already on the market and Google’s second generation Pixel 2 on the horizon, Apple needs to deliver with the iPhone 8. If it does, I suspect the company will be able to charge what it likes…