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Home / Business

Apple to launch low-cost iPhone to take on Huawei, Samsung

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4 Sep, 2019 09:14 PM5 mins to read

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Apple chief executive Tim Cook. Photo/ Getty Images

Apple chief executive Tim Cook. Photo/ Getty Images

Apple is expected to release a low-cost iPhone in 2020 in a bid to win back market share from rivals Huawei and Samsung.

The upcoming device will be similar in size to the iPhone 8, which features a 4.7-inch display, and will have the same internal components as this year's flagship iPhones, according to Japan's Nikkei Asian Review.

It would be the first low-cost smartphone from Apple since the iPhone SE, which launched three years ago at a starting price of £379 (NZ$730).

It comes after analysts warned earlier this year that Apple risked seeing a sales drop in China due to an informal "Apple boycott."

Citi analysts said in May that "our independent due diligence now shows a less favourable brand image desire for iPhone and this has very recently deteriorated."

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Chinese sales account for 18pc of Apple's sales, the analysts wrote. They revised their forecast for iPhones sold in China for the 2020 financial year to 16.8m, down from a previous estimate of 33.6m.

Apple has lost some ground in China to rival smartphone makers including Huawei which sell cheaper smartphones.

The iPhone maker issued a shock profit warning in January when it cut its sales forecast for the first time since 2002, blaming economic slowdown in China.

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"While we anticipated some challenges in key emerging markets, we did not foresee the magnitude of the economic deceleration, particularly in Greater China," said chief executive Tim Cook.

Cook suggested during Apple's earnings call in January that the company could reduce the price of iPhones in international markets, including China.

When will it be released?

The new smartphone release, which is expected to be the iPhone 11, will see three new models announced on 11 September.

Apple is set to launch the iPhone 11 later this month. Photo / File.
Apple is set to launch the iPhone 11 later this month. Photo / File.

According to the latest rumours, this could see the first iPhone 11 Pro (or XI Pro), a larger Max model and a cheaper model, which could simply be called the iPhone 11 or the iPhone 11 R.

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It comes one year after Apple launched the iPhone XS, and two years since its last radical redesign with the iPhone X model.

What will it cost?

Apple's sales seems to have been dropping recently, so increasing their prices is a risk if they wish to remain competitive. The price of the iPhone 11 is currently unknown but likely to cost around £999 (NZ$1925) in the UK, a similar price to the iPhone XS.

What will it look like?

The new iPhone is predicted to have a 5.8-inch display, like the iPhone XS but with smaller sides, meaning the screen should fill even more of the front of the phone.

The phone will have an OLED screen that can offer deeper blacks in the premium iPhone 11 and iPhone 11 Max models. A cheaper model is still expected to use an LCD screen design.

It is possible that the new models will also be thinner and lighter.

What new colours will the phones come in?

The iPhone 11 is expected to come in space grey, gold, silver and blue. It has been suggested that the iPhone XR 2 will come in new lavender and green shades, as well as black, white, yellow and potentially red, according to a report on Japanese Apple website Mac Otakara.

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The new iPhone is set to come in a range of new colours. Photo / File
The new iPhone is set to come in a range of new colours. Photo / File

These two new colours will replace the current Coral and Blue models of the iPhone XR and aim to tempt customers to upgrade their phones.

Bloomberg reports that several of the new phones will also feature a matte finish, making them easier to hold. The phones will also add new shatter-resistant technology.

Will the battery last?

The iPhone 11 will have a battery 20-25pc larger than that of the iPhone XS without making the phone any thicker, according to reports.

The iPhone battery will even be great enough to share its power with other devices and form a two-way wireless charging system, where it will be able to wirelessly charge a separate device, such as an Apple Watch or Airpods.

This feature has never been seen before in any of Apple's products, but is similar to the Samsung Galaxy S10's Wireless PowerShare feature. It has also been reported that the iPhone 11 will have a new charging cable, enabling faster charging speeds.

Will it have 5G?

Despite rivals launching 5G technology that can offer download speeds of between 10 and 100 times faster than 4G, Apple's latest iPhones appear to be sticking with 4th Generation (4G) modems.

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New 5G network technology is expected to become increasingly important as users download and stream more films and games.

Apple was planning to use 5G chips from Intel, which were not immediately available and left the iPhone-maker lagging behind rivals.

Earlier this year, Apple settled a legal dispute with Qualcomm, which has been the main supplier of 5G modem chips to smartphone makers, freeing the companies up to work together again. Analysts expect Apple will now use Qualcomm modems in its 5G phones, but not until 2020.

According to a report from TF International Securities, Apple will release three iPhones in 2020, all of which are expected to come with 5G chip technology.

- Telegraph Media Group

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