iPhone’s New (Aluminum) Design Has the Potential to Change the Smartphone Market

2015-06-18T15:33:40+00:00September 28th, 2011|

It is rumored by a Wall Street analyst that the newly redesigned iPhone 5 will have an all-new aluminum back, replacing the existing glass back of the iPhone4.  The newly issued iPhone4 is also predicted to have a new uniform aluminum design.  Two key advantages to their use of this new material are its lightweight and durability. Beyond this- the cost to produce the phone will be dramatically reduced allowing Apple to see more profit based on their use of this new material.

“The two anticipated new iPhone models are expected by analyst Chris Whitmore with Deutsche Bank to push Apple’s smartphone sales even higher. He sees the so-called ‘iPhone 4S’ as a handset with a bill-of-material cost lower than $150, allowing Apple to sell it for between $300 and $350 without a carrier subsidy.”

Whitmore claims this cut in manufacturing cost will enhance Apple’s sales in the midrange smartphone market, possibly achieving margins up to 50 percent.  The lower cost of the materials will undoubtedly generate more profit for Apple and be a better product for consumers.

Initial reports concerning iPhone’s new design first came out in March of 2011 but for now exact details are still under wraps. One thing for sure, these reports suggest aluminum will be the key material that will change the “face” of the midrange smartphone market.

Click here to read the full article from Apple Insider.