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KGI: Apple to Discontinue iPhone X Rather Than Sell at Lower Price When Second-Generation Model Launches

Apple will discontinue the first-generation iPhone X when the second-generation model launches later this year, rather than bump the device down its smartphone lineup for lower than $999, according to KGI Securities analyst Ming-Chi Kuo, who clarified his earlier prediction (https://www.macrumors.com/2018/01/19/kgi-larger-iphones-to-offset-weak-iphone-demand/) with a follow-up research note today.





<img src="(http://cdn.macrumors.com/article-new/2017/10/iphone-x-silver.jpg)" alt="" width="800" height="760" class="aligncenter size-full wp-image-600545" />


Kuo said that Apple keeping the current iPhone X in its smartphone lineup for a reduced price, such as $899, would likely cannibalize sales of the mid-range 6.1-inch iPhone with Face ID (https://www.macrumors.com/2017/11/13/kuo-three-new-iphones-2018/) and a LCD display that he expects to launch in the second half of 2018 for between $650 and $750 in the United States.





An excerpt from Kuo's research note obtained by MacRumors on Monday:

<strong>iPhone X would hurt product brand value & lineup of 2H18 new models if it continues to sell at a lower price after 2H18 new models launch:</strong> Lowering iPhone X's price after the 2H18 new models launch would be a negative to product brand value given 3D sensing and OLED display are features of the new high-price model. Additionally, to sell iPhone X at a lower price may have a negative impact on shipments of the new 6.1" LCD iPhone in 2H18. Thus, we estimate iPhone X will reach end-of-life (EOL) around the middle of 2018.

If accurate, Apple's smartphone lineup later in 2018 would consist of the second-generation 5.8-inch iPhone X, which will likely remain $999, a larger 6.5-inch version dubbed iPhone X Plus (https://www.macrumors.com/2017/11/13/kuo-three-new-iphones-2018/), and the mid-range 6.1-inch iPhone. Below that would likely be iPhone 8, iPhone 7, and iPhone SE models.





Here's how Apple's new iPhone lineup could look:





• iPhone SE: $349


• iPhone 7 and iPhone 7 Plus: $449 and $569


• iPhone 8 and iPhone 8 Plus: $549 and $669


• 6.1-inch iPhone with Face ID: $649 or $749


• 5.8-inch second-generation iPhone X: $999


• 6.5-inch second-generation iPhone X Plus: $1,099

<div class="linkback">Related Roundup: iPhone X (https://www.macrumors.com/roundup/iphone-x/)</div><div class="linkback">Tags: KGI Securities (https://www.macrumors.com/roundup/kgi-securities/), Ming-Chi Kuo (https://www.macrumors.com/roundup/ming-chi-kuo/)</div><div class="linkback">Buyer's Guide: iPhone X (Buy Now) (https://buyersguide.macrumors.com/#iPhone-X)</div>
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Source: KGI: Apple to Discontinue iPhone X Rather Than Sell at Lower Price When Second-Generation Model Launches (https://www.macrumors.com/2018/01/22/kgi-apple-will-discontinue-original-iphone-x/)