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iPhone 5S, Low-Cost iPhone to Enter Production in June or July, Analyst Says

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Apple is preparing to start mass production of multiple new iPhones, right on schedule for a September (or around) launch, Katy Huberty, Morgan Stanley’s chief Apple watcher wrote in a note to investors on Wednesday, after returning from a visit to Hong Kong and Taiwan.

low-cost-iphone

According to the note obtained by AppleInsider, Katy Huberty says the new iPhone models will launch around September, information in line with an earlier report claiming Sharp will start mass production of the next-generation iPhone display next month.

The second model Huberty heard about is the rumoured low-cost iPhone, which will allegedly bring a strategy shift, the end of iPhone subsidies, even if its price will be $330 as whispered. This information seems to suggest that Apple could launch the low-cost iPhone and the high-end iPhone at the same event. This isn’t something unusual, as the company launched the iPad 4 and lower-cost iPad mini during the same event last year.

Regarding the iPhone 5, Huberty has received information that shipments are in balance with demand, which is a positive turn of events, as suppliers complained a couple months ago that had Apple reduced the orders of the iPhone 5.

“After a slow start, iPhone 5, is now on track to meet carrier volume expectations and iPhone 4 price cuts could stimulate incremental demand near-term,” Huberty wrote. “Carriers see the opportunity for Apple to expand market coverage with 5-inch and lower-priced iPhones over time. TD-LTE licenses, and related phone launches, are expected by year-end.”

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