'iPhone 5C' Projected to Give Apple Huge Boost in China
While Apple has experienced tremendous growth in China over the past several years and the market is now responsible for approximately 15% of Apple's revenue each quarter, Apple's momentum has slowed there recently with the most recent quarter seeing a 14% decline in revenue in China year-over-year.
A Morgan Stanley analyst team led by Katy Huberty released a bullish new report yesterday suggesting, however, that Apple's rumored lower-cost "iPhone 5C" could spark a surge in consumer interest for Apple in China. According to a survey of 2,000 Chinese consumers in "Tier 1-2" cities, an iPhone 5C could lead to a 13-point smartphone market share boost for Apple in China, with a rumored China Mobile deal potentially adding another six points. Combined, those two scenarios could push Apple to a 36% share of the market in those cities, taking the lead from Samsung.
Apple could significantly disrupt the Chinese smartphone market by launching iPhone 5C. We asked respondents that are very likely to purchase smartphones in the next 12 months but did not choose the iPhone whether they would purchase a redesigned and lower-priced iPhone 5C, one of the “Mini” products from international brands, or a comparable smartphone from one of China’s domestic brands. The survey indicates Apple could gain 13 points of unit share with iPhone 5C. About half of that share gain would come from Samsung, while most other vendors lose some share.
According to the survey, the "sweet spot" for pricing on the iPhone 5C among Chinese consumers is around RMB 4000 ($486), significantly higher than Morgan Stanley's estimated $399 pricing for the device, suggesting that consumers there will generally be satisfied with the iPhone 5C as a mid-range device rather than Apple needing to compete at low-end price levels.
Morgan Stanley's results also show that two-thirds of potential iPhone 5C customers would be happy with a 3G device, as 4G networks have yet to see widespread deployment in many areas of China. The data suggests that Apple could boost profit margins and increase differentiation with the iPhone 5S by not supporting 4G LTE on the iPhone 5C, although the company's plans for the iPhone 5C in countries where 4G LTE is more prevalent could drive Apple to support the faster networks.
Apple is expected to unveil the iPhone 5S at a media event on September 10, with the iPhone 5C most likely appearing at the same event.
Popular Stories
Apple is "drastically" cutting production of the iPhone Air and shifting focus toward the iPhone 17 and iPhone 17 Pro models, Nikkei Asia reports.
The business publication claims to have learned of a major cut to iPhone Air production motivated by weaker-than-expected consumer interest, nearly to "end of production levels." Despite early reports of the iPhone Air selling out within hours of...
Back in 2012, an Apple retail employee named Sam Sung went viral because his name is similar to Samsung, one of Apple's main competitors. In a recent interview with Business Insider, he detailed that period in his life, how Apple responded, and he explained why he ultimately changed his name.
Someone posted an image of Sung's Apple business card on Reddit in 2012, and it spread rapidly....
The upcoming iOS 26.1 update includes a handful of new features and changes for iPhones, including a toggle for changing the appearance of the Liquid Glass design, "slide to stop" for alarms in the Clock app, and more.
iOS 26.1 is currently in beta testing. The update will likely be released in the first half of November, and it is compatible with the iPhone 11 series and newer, but some...
General Motors began phasing out support for CarPlay in its electric vehicles back in 2023, leading to complaints from iPhone users, but the company has no plans to back down.
In fact, GM is going further and plans to remove CarPlay from all future gas vehicles, too. In an interview with The Verge, GM CEO Mary Barra said that the company opted to prioritize its platform for EVs, but the...
Apple plans to launch a new type of iPhone every year for the foreseeable future, according to an Asia-based source.
The detailed information was shared by the account "yeux1122" in a blog post on the Korean platform Naver, citing domestic trend and component research companies.
Corroborating other reports, Apple will apparently launch its first foldable iPhone in 2026, featuring a...
Apple's new iPhone lineup launched in the fall of 2027 will be called the "iPhone 20" models, rather than the "iPhone 19," according to research firm Omdia.
Speaking at a conference in Seoul (via ETNews), Omdia Chief Researcher Heo Moo-yeol corroborated rumors that Apple plans to move the launch of its standard iPhone to the first half of the year and provided some additional clarity about...
iPhone Air demand failed to meet Apple's expectations and the company's supply chain is scaling back shipments and production, reports Apple analyst Ming-Chi Kuo.
Subscribe to the MacRumors YouTube channel for more videos.
Suppliers are expected to reduce capacity by more than 80 percent between now and the first quarter of 2026, and some components with longer lead times will be discontinued ...
In select U.S. states, residents can add their driver's license or state ID to the Wallet app on the iPhone and Apple Watch, providing a convenient and contactless way to display proof of identity or age at select airports and businesses, and in select apps.
Starting today, the feature is available to residents of West Virginia. To set it up, open the Wallet app and tap on the plus sign in...
Apple is one of several tech companies that will contribute to the construction of U.S. President Donald Trump's 90,000-square-foot ballroom, reports CNN.
Construction began on the ballroom this week, and the White House's east wing was torn down. Trump claims that the ballroom will cost $350 million, and that it will be privately funded through donations. The cost has already increased $150 ...
