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Media Commentary Concluded Apple Conference: "It's worth a thumbs up."


Boomberg:Cheaper iPhone Indicates a High Risks

The price of the new iPhone doesn't seems to be like what the analysts have said, cheaper iPhone is definitely a risk to Apple. Referring to "Forrester" analysts,
Apple is “walking a tightrope between growth and profitability", Sarah Rotman Epps said

As iPhone is Apple's half of the revenue source, this indicates every new product announcement is critical to Apple. Samsung uses strategy with a variety of styles and pricing, has received more markets than in the past among the Android competitors.

The new iPhone is a large update since iPad mini product line update in last year. In this 12 months, Apple gone through many difficulties, apart from the intense competition to the external market, it also gone through the difficulties due to the bugs in the Apple Map and the changes in the management level. In addition, Apple also need to face America government challenges to the company policies.

The high-official-price of the Apple indicates that Apple is still gambling, to gamble and queries will Apple fans still pay for a new refresh of iPhone product line.
“They aren’t trying to compete for the bottom of the market,” Rotman Epps said 

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Reuters:Two New iPhone Focus in High, Low End Markets

"Previously we thought the 5C would be a lower-end phone to address emerging markets like China and India," said Gene Munster, analyst with Piper Jaffray, adding that based on the price it appears that Apple "still plays in the higher end of the market."
"For me this is an Apple brilliance where you see them going after the wearable device in a way that makes sense to them today, which is by not adding a device that is not ready from a design perspective," said Carolina Milanesi, an analyst with Gartner, who added that this chip will help Apple learn from consumers and help prepare the developers for any eventual Apple entry into the space."
 The vibrant colours combination and a cheaper price of iPhone 5C represents that Apple will deviate the settings of the traditional image of the company. The most valuable technology company Apple is now declaring a war with Acers and Samsung.

"It means Apple will hold on to margins but clearly they are not going after the very low-end of the market, which will disappoint some investors," said Shannon Cross of Cross Research. "This is their first foray into multiple colors and the plastic back. Keep in mind by next year they would have probably have discounted this down, so I think there's still opportunity."
The more important fact is that, if Apple could receive the support from China Mobile, and with the help of the latter's sales network selling the iPhone 5C, undoubtedly that Apple will grow faster. China Mobile currently has more than 740 million users, with slow growth in profits and users. A lot of people think that China Mobile is also willing to try selling the recent popular smartphone at the same time. The end of June, China Mobile's net income last quarter grew by only 2%.

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WallStreet Journal:Can iPhone 5C Stimulate Emerging New Markets

Apple is facing continual loss of markets outside the United States market. According to data released by IDC, iPhone accounted for just 19% of the smartphone market share, while Samsung's market share is close to 32%. Global smart phone sales in this year is expected to reach $ 290 billion.

Competitors always use a much cheaper price than Apple to sell mobile phones. Such as Samsung sales in China and India, some low-end machines is less than USD$100, while the iPhone 5C price in China is about USD$733.

Apple's new machine is still mired the past design of intelligent machines, which also left a question: whether Apple can maintain the innovation? Steve Jobs has passed away for two years, where Apple still did not opened up a new product line, nor come up with more amazing products.

ISI analyst Brian Marshall says that iPhone 5C looks good, but the question is whether Apple drop the price low enough, lighten up a sparks in emerging markets desire for Apple products. The latter demand for iPhone has been fell 37 percent in recent years.

Brian Marshall, an analyst at ISI Group, said the iPhone 5C looked compelling, but he questioned whether Apple will be able to get the price low enough to make it attractive, while also moving the needle for Apple's closely watched gross margins, which have fallen in recent years to about 37% in its most recently reported quarter ended in June.
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Forbes:New iPhone Will Continue Its Strong Sales

There are 35 countries support iPhone GSM and CDMA network band, and 64 operators support it as well. Now, with the iPhone 5c and 5s for more LTE network support, these two figures expanded to more than 100 countries and over 270 carriers. This is a leap. September iPhone sales are estimated to sell more than expected, where in December shopping season, the sales will be more obvious.

Unlocked version of iPhone 5c is priced at $549, higher than analyst expectations of more than USD$100. Apple's DNA has been manufacturing high-value products, if iPhone 5C priced too low , then it will affect the iPhone 5s.

The key is how Apple uses it discount strategies in developing countries, and putting more promotional activities. Earlier this year, Apple's sales in India, at the first time, the iPhone 5 price had dropped to only USD$93. India has 15% iPhone sales, operators MobileStore said that the marketing events makes the iPhone sales tripled in December last year to January this year,. 

If Apple can continue to maintain market share in mature, and by using low-cost, discount encroach more markets in developing countries, iPhone can enhance its global market very soon.

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NYTimes:One is Faster, One is Cheaper


No contract version of iPhone 5C is priced at $550, only $100 lower than the iPhone 5S, far more than analysts' expectations of $300-400 given. At first they believed that iPhone 5C could help Apple win the low-end market.

Some investors queries that after the death of Apple's Steve Jobs, Apple may lost innovation, new machine using the colorful shell and fingerprint scanners can not convince them.

But analysts Laurence Isaac Balter do not think so, he thinks Apple iPhone 5C merely expedient, Apple will focus on the more attractive products, such as television and smart watches.

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Do you have any thoughts on the new iPhone 5C and the new iPhone 5S?

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