08/06 Update below. This post was originally published on August 3
Apple leaks have consistently agreed on one thing: iPhone 14 models it’s getting expensive. That is, until now.
New blog post, anonymous leaker Lanzuk revealed that Apple “has decided to freeze the selling price of the iPhone 14 base model through a decision at the senior management level.” And given Lanzuk’s solid record, there’s every reason to believe so.
Apple iPhone 14 Pro Max concept showing the expected higher $1199 price
Lanzuk explains that Apple’s decision was driven by “stagnation and reduced demand in the global mobile phone market … so despite some price increase factors, the price of the base model is frozen.”
Other leaks detail that these factors include rising component prices due to shortages and Apple upgrading several key elements of the iPhone 14 lineup. Most importantly, a brand new front camera module from LG Innotek. tripled the price of its predecessor.
Lanzuk is no doubt aware of the shock and potential disbelief his news will cause, stressing that his information comes from a solid source within a “major US financial institution.” Moreover, Lanzuk has a respectable track record. In case of insider possession get bored once in a whilethere have been a number of exact leaks for both Apple and Samsung devices in the last year.
05/08 Update: More information about the iPhone 14 launch has leaked, and it’s even better news. Influential analyst and industry insider Ming-Chi Kuo reports Apple has successfully expanded production of the upcoming base model in India ahead of the launch.
“Foxconn’s iPhone manufacturing site in India will ship the new 6.1″ iPhone 14 almost at the same time as China for the first time in the second half of ’22 (India was a quarter or more behind in the past),” Kuo explained. “In the short term, India’s iPhone model capacities/shipments still have a significant gap with China, but this is an important milestone for Apple in establishing an iPhone manufacturing footprint outside of China.
My contacts believe that this strategy will pay off immediately, with Apple able to secure a significant inventory of the iPhone 14 for its September release. This is in stark contrast to the supply chain issues facing the iPhone 14 Max. While Kuo expects the new 6.7-inch model to go on sale alongside other variants, Display Supply Chain Consultants (DSCC) CEO Ross Young warned that “iPhone 14 Max panel shipments [are] still leaves August behind.”
So if you’re planning to buy Apple’s most affordable big-screen iPhone to date, I suspect you’ll need to act fast when they go on sale.
08/06 Update: popular tipster AppleLeaksPro, who spoke to me today, says the new prices are in line with what he’s been hearing for months. “Pros are significantly more expensive to manufacture,” LeaksApplePro said, citing a new hole-punch display, improved 48-megapixel camera, stainless steel chassis (a cost differentiator since the iPhone XS), and A16 chipset.
“There are a lot of differences,” the leaker said, adding that the expectation is that Apple will focus primarily on the iPhone 14 Pro models at launch. “I don’t think Apple will talk about the iPhone 14.”
AppleLeaksPro says that the driver behind all this is “Distinctiveness”. This follows similar moves by Apple, which in recent years has widened the price and feature differences between standard and Pro models of iPads, Macs and MacBooks. The strategy has been successful, even if it’s harder to identify any features that would make the iPhone 14 Pro models objectively pro-oriented.
All of this means that a rift is opening up in the leak community. Analysts cited by Wedbush last month explained that the price increase is inevitable because “prices are increasing throughout the supply chain, and Cupertino needs to pass those costs on to the consumer in this release.”
As far as I can tell, there is some truth in both positions. Pressure on the supply chain, several new components in the iPhone 14 series (in particular new front cameras).
However, I understand that Apple is determined to make 2022 the year it differentiates between the Pro and non-Pro models, even if that means absorbing some of the price increases on the standard models. This is an important factor behind the similarity of the iPhone 14 to its predecessor in terms of both design and performance, and the improvements are likely to be smaller than any previous generation iPhone update.
As a result, expect this to be one of the most controversial iPhone launches in recent years.
The Apple iPhone 14 series is based on numerous leaks
If true, Lanzuk’s claim means the iPhone 14 will keep its $799 asking price (instead of going up to $899), which raises hopes that the new iPhone 14 Max will also be $100 cheaper than $899. Given Apple’s determination to expand, these price points make sense feature and performance gap to the iPhone 14 Pro models, which are still expected to increase in price:
- iPhone 14 Pro – $1099 (iPhone 13 Pro $999)
- iPhone 14 Pro Max – $1199 (iPhone 13 Pro Max $1099)
Furthermore, I’d argue that Lanzuk’s claim still equates to an effective $100 price increase on the range. That’s because the $799 iPhone 14 will replace the $699 iPhone 13 Mini as the entry-level model, and the $899 iPhone 14 Max will replace the $799 iPhone 13. These increases are also easier given the corresponding increases in screen size. Sell to customers for Apple.
Is the iPhone 14 lineup worth it? Design, camera and performance improvements It will definitely appear on the Pro models, but with a potential switch Lightning to USB-C in 2023 If you don’t need to upgrade this year, I still urge caution.
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