With China Mobile, the world's largest carrier, having launched its new 4G LTE network without announcing an iPhone deal, questions have arisen about why an agreement has not yet been reached after many years of negotiations and evidence indicating that the necessary hardware is available and approved for sale.

According to a new report from KGI Securities analyst Ming-Chi Kuo, the deal may have been slowed by the unexpectedly weak demand for the iPhone 5c relative to the iPhone 5s among China Mobile customers. According to Kuo's survey numbers, interest in the iPhone 5c from China Mobile customers has fallen precipitously from earlier expectations while iPhone 5s interest has remained high, and that unexpected mix of customer preference may be leading China Mobile and Apple to a renegotiation of an agreement that was nearly settled.

While previously we estimated that Apple originally planned the TD-LTE version would account for 30% of total iPhone 5C shipments, our latest survey indicates that demand for the TD-LTE iPhone 5C has declined dramatically due to 5S being far more popular than 5C among China Mobile subscribers. As such, we estimate iPhone 5C shipments of the TD-LTE version for China Mobile at 1.0-1.5mn units in 4Q13 and under 1.0mn units in 1Q14, well below Apple’s original production plan.

We believe this would necessitate a re-negotiation of the Apple-China Mobile deal and therefore defer its finalization.

kuo_iphone_sales_4q13_1q14
Kuo also remains conservative in his predictions of the impact of a China Mobile deal on Apple's iPhone shipment numbers for the first quarter of 2014, believing that the launch of the new TD-LTE model for China Mobile will be offset by falling sales in other markets around the world as momentum slows in the months following the iPhone 5s and 5c launches in those countries.

Related Forum: iPhone

Top Rated Comments

Klae17 Avatar
157 months ago
Why does anyone believe a single word Kuo says?

Because he has been right many times and has access to better information than you do.
Score: 6 Votes (Like | Disagree)
Technarchy Avatar
157 months ago
For starters- https://www.macrumors.com/2012/07/23/tweaked-ipad-and-new-ipad-mini-said-to-closely-follow-next-generation-iphone-launch/

Also- https://www.macrumors.com/2012/07/24/13-inch-retina-macbook-pro-and-updated-imacs-reportedly-due-in-september-october/

And- https://www.macrumors.com/2012/04/23/apple-predicted-to-discontinue-17-inch-macbook-pro/

Another one- https://www.macrumors.com/2013/08/19/iphone-5c-predicted-to-replace-iphone-5-iphone-4s-sales-to-continue/

Convinced yet? :D

If I cared enough to make the effort of looking, there are probably dozens of posts on this forum from people saying the exact same thing.

Here's a prediction, Apple will release iphone 6 next year and it will sell out and be in high demand...I'll bump this in a year and I'm saying it way before Kuo. Call me Nostradamus.
Score: 5 Votes (Like | Disagree)
dannyyankou Avatar
157 months ago
Right about what?

For starters- https://www.macrumors.com/2012/07/23/tweaked-ipad-and-new-ipad-mini-said-to-closely-follow-next-generation-iphone-launch/

Also- https://www.macrumors.com/2012/07/24/13-inch-retina-macbook-pro-and-updated-imacs-reportedly-due-in-september-october/

And- https://www.macrumors.com/2012/04/23/apple-predicted-to-discontinue-17-inch-macbook-pro/

Another one- https://www.macrumors.com/2013/08/19/iphone-5c-predicted-to-replace-iphone-5-iphone-4s-sales-to-continue/

Convinced yet? :D
Score: 4 Votes (Like | Disagree)
Rogifan Avatar
157 months ago
So Ming-Chi Kuo is speculating based on some survey he did. How is that newsworthy? I swear this guy takes a leak and the rumor sites run it on their front page as news. :rolleyes:
Score: 4 Votes (Like | Disagree)
Technarchy Avatar
157 months ago
Why does anyone believe a single word Kuo says?
Score: 4 Votes (Like | Disagree)
Rogifan Avatar
157 months ago
Nice job spreading around the FUD Ming (and Mac Rumors).

China Mobile & Apple Bring iPhone to China Mobile’s 4G & 3G Networks on January 17, 2014 (http://www.apple.com/pr/library/2013/12/22China-Mobile-Apple-Bring-iPhone-to-China-Mobiles-4G-3G-Networks-on-January-17-2014.html)

----------

The issue is the 5s is seen as premium device over the plastic 5c.

So basically the 5C haters are just plastic snobs who thumb their nose at it because it's not metal. Even though both the 3G and 3GS under Steve Jobs were plastic. I guess those weren't premium phones either then?
Score: 3 Votes (Like | Disagree)

Popular Stories

iphone 17 models

No iPhone 18 Launch This Year, Reports Suggest

Thursday January 1, 2026 8:43 am PST by
Apple is not expected to release a standard iPhone 18 model this year, according to a growing number of reports that suggest the company is planning a significant change to its long-standing annual iPhone launch cycle. Despite the immense success of the iPhone 17 in 2025, the iPhone 18 is not expected to arrive until the spring of 2027, leaving the iPhone 17 in the lineup as the latest...
duolingo ad live activity

Duolingo Used iPhone's Dynamic Island to Display Ads, Violating Apple Design Guidelines

Friday January 2, 2026 1:36 pm PST by
Language learning app Duolingo has apparently been using the iPhone's Live Activity feature to display ads on the Lock Screen and the Dynamic Island, which violates Apple's design guidelines. According to multiple reports on Reddit, the Duolingo app has been displaying an ad for a "Super offer," which is Duolingo's paid subscription option. Apple's guidelines for Live Activity state that...
Clicks Communicator Feature

'Clicks Communicator' Unveiled — Will You Carry This With Your iPhone?

Friday January 2, 2026 6:35 am PST by
The company behind the BlackBerry-like Clicks Keyboard accessory for the iPhone today unveiled a new Android 16 smartphone called the Clicks Communicator. The purpose-built device is designed to be used as a second phone alongside your iPhone, with the intended focus being communication over content consumption. It runs a custom Android launcher that offers a curated selection of messaging...
apple intelligence black

Report: Apple's AI Strategy Could Finally Pay Off in 2026

Tuesday December 30, 2025 9:01 am PST by
Apple's restrained artificial intelligence strategy may pay off in 2026 amid the arrival of a revamped Siri and concerns around the AI market "bubble" bursting, The Information argues. The speculative report notes that Apple has taken a restrained approach with AI innovations compared with peers such as OpenAI, Google, and Meta, which are investing hundreds of billions of dollars in data...
apple fitness 2026 1

Apple Teases 'Something Big' Coming Soon to Apple Fitness+

Tuesday December 30, 2025 2:11 pm PST by
The Apple Fitness+ Instagram account today teased that the service has "big plans" for 2026. In a video, several Apple Fitness+ trainers are shown holding up newspapers with headlines related to Apple Fitness+. What's Apple Fitness+ Planning for the New Year? Something Big is Coming to Apple Fitness+ The Countdown Begins. Apple Fitness+ 2026 is Almost Here 2026 Plans Still Under ...
Low Cost MacBook Feature A18 Pro

Low-Price 12.9-Inch MacBook With A18 Pro Chip Reportedly Launching Early This Year

Friday January 2, 2026 9:08 am PST by
Apple plans to introduce a 12.9-inch MacBook in spring 2026, according to TrendForce. In a press release this week, the Taiwanese research firm said this MacBook will be aimed at the entry-level to mid-range market, with "competitive pricing." TrendForce did not share any further details about this MacBook, but the information that it shared lines up with several rumors about a more...
Mac Pro Feature Blue

What's Happening With the Mac Pro?

Wednesday December 31, 2025 9:59 am PST by
Apple hasn't updated the Mac Pro since 2023, and according to recent rumors, there's no update coming in the near future. In fact, Apple might be finished with the Mac Pro. Bloomberg recently said that the Mac Pro is "on the back burner" and has been "largely written off" by Apple. Apple apparently views the more compact Mac Studio as the ideal high-end pro-level desktop, and it has almost...
Apple Fitness Plus hero

Apple Announces New Fitness+ Workout Programs, Strava Challenge, and More

Friday January 2, 2026 6:43 am PST by
Apple today announced a number of updates to Apple Fitness+ and activity with the Apple Watch. The key announcements include: New Year limited-edition award: Users can win the award by closing all three Activity Rings for seven days in a row in January. "Quit Quitting" Strava challenge: Available in Strava throughout January, users who log 12 workouts anytime in the month will win an ...