Apple iPhone 5s sales jump; analyst worries about what it means for Apple

Apple iPhone 5s sales jump; analyst worries about what it means for Apple
According to Societe Generale analyst Andy Perkins there is something strange and ominous about a sudden pick up in sales of the Apple iPhone 5s. The older iPhone model has jumped from contributing 10% of Apple's first quarter sales to counting for 20% of such sales in the current quarter. Perkins said that when an older model handset starts losing sales, it almost never rebounds, which makes this all the more interesting. The information is based on handset exports from contract manufacturers Hon Hai, and Pegatron. Both companies assemble iPhone units for Apple.

The analyst's concern stems from the $100 lower price of the iPhone 5s compared to the newer Apple iPhone 6. The older model is $200 cheaper than the Apple iPhone 6 Plus. He wonders if the excitement of the new larger screen sizes has already played out.

Perkins is also concerned that mostly everyone who wanted a larger screened iPhone will have bought one by the time the next iPhone model is released later this year. The analyst doesn't see Apple coming up with anything more enticing to buyers than the increase in screen sizes that set off a big surge in iPhone sales for the fourth quarter of 2014. For that three month period, Apple sold a record 74.5 million units.

The analyst doesn't even think that the Apple Watch, which in its current form needs to be paired with an iPhone 6 or iPhone 6 Plus, will boost iPhone sales. "We do not believe that the Apple Watch will be a major game changer for Apple, at least over the next 12 months," Perkins wrote. He also is worried about the rapidly rising dollar doing some damage to the average selling price of the iPhone, which surged as it usually does in the fourth quarter. He expects that the average price of Apple's smartphone dropped to $651 in the first quarter of this year from the 2014 fourth quarter's average price of $687.


source: BusinessInsider

Related phones

iPhone 5s
  • Display 4.0" 640 x 1136 pixels
  • Camera 8 MP / 1.2 MP front
  • Processor Apple A7, Dual-core, 1300 MHz
  • Storage 64 GB
  • Battery 1570 mAh(10h 3G talk time)

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65 Comments

1. ZEUS.the.thunder.god

Posts: 1135; Member since: Oct 05, 2011

That`s interesting.

27. JaneChenLong

Posts: 374; Member since: Mar 18, 2015

The reason is simple: All of those who want iphone 6/6+ switch to Galaxy S6/S6 Edge.

29. Mxyzptlk unregistered

I'm not switching to either one.

39. iushnt

Posts: 3122; Member since: Feb 06, 2013

It would be a lot cooler if you did!!

42. tedkord

Posts: 17414; Member since: Jun 17, 2009

Really? You? That's a surprise!

67. j2001m

Posts: 3061; Member since: Apr 28, 2014

That women in the Samsung lines for the s6 switched from iPhone 6 within 6 months that cool, see her pocket

35. darkkjedii

Posts: 31310; Member since: Feb 05, 2011

Log off

52. BobbyBuster

Posts: 854; Member since: Jan 13, 2015

Oh, really? To me, it seems that people prefer 1.5 year old 5s over brand new Android upper midrangers. We all know why the resale value of iPhones is so high: people tight on budget would buy USED iPhones rather than NEW Android midrangers.

56. Iodine

Posts: 1495; Member since: Jun 19, 2014

So why they are buying the iPhone 5S ?

66. iLovesarcasm

Posts: 589; Member since: Oct 20, 2014

That's what you call smart buying, the older the cheaper.

43. AlikMalix unregistered

It's PRETTY SIMPLE: There are still many people that prefer a 4" flagship phone... and with no 4" iPhones reportedly in the works people are investing into the 5s instead. It may not have 240fps slo-mo (only 120fps), it may not have Apple Pay, faster processor, bigger battery, or new design, or OIS, or faster graphics, or 128gb available storage, but it's still a best looking phone, still has 120fps slo-mo, still has iSight camera, still has fingerprint sensor, still faster or on par graphics of many latest flagship Android phones and running latest iOS perfectly. Not surprised... This should motivate Apple to continue offering 4"-4.3" phones...

55. buccob

Posts: 2975; Member since: Jun 19, 2012

Exactly... this is the first thing I thought after reading the title... This just means that there are quite a few people that still wants the smaller form factor... and the only capable devices at those sizes are the iPhone 5s and the Xperias Z1/Z3 Compact.

68. j2001m

Posts: 3061; Member since: Apr 28, 2014

Best looking iPhone, best looking phone is s6 edge and it also as an easy mode for the slow iPhone user like her of wsj review

73. AlikMalix unregistered

S6e is better looking than the iPhone 6 because it's a new screen thing, but both have ugly camera bumps - so just like you have an opinion, my opinion is the 5/5s is the best looking phone past and present (specifically the black/space gray version). I owned it for a year and a half and just like my cars is still admire the look and feel of it every day - it is also the reason I carry it naked and I'm a construction contractor.

74. Bozzor

Posts: 248; Member since: May 02, 2012

Very true: people do like larger screens, but many people are not willing to accept that tradeoff for a phone that is not comfortable to carry and use. It is strange though: I see many Asian girls with iPhone 6/6+ who could not imagine using any other device despite having comparatively smaller hands. And I know some fairly large, solidly built guys with big hands who say that the 6+ "Is way too big to be comfortable to use daily". Weird...

2. rick_mobile

Posts: 359; Member since: Dec 13, 2010

Because it's the same thing as the iphone 6... just cheaper. #Sheeps waking up.

3. QWERTYslider unregistered

I've been demoing the 5s for the last month until the G4 is launched. It's too small. Smaller than 5" sucks. Regardless, using this iPhone has reminded me how terrible everything about Apple is, especially the UI. I can't wait to get back to Android.

5. darkkjedii

Posts: 31310; Member since: Feb 05, 2011

Time will tell.

6. tedkord

Posts: 17414; Member since: Jun 17, 2009

It will also heal all wounds, and a stitch in it will save nine. Hey, I'm bored. OK?

10. darkkjedii

Posts: 31310; Member since: Feb 05, 2011

Lol good one. I can't even pretend to care about what's going on with these phones bro. I'm at the point to where it's sell me one, and I'm good lol. I can't keep up with the pace at which they come out now. My son graduates in May, so money has to be redirected for school, and getting him a solid send off. The AppleWatch may be it for me this year.

14. TechieXP1969

Posts: 14967; Member since: Sep 25, 2013

His last major toy purchase of the year and its going to be the most useless thing you can buy. For that same 349, you would do better with a S6 Edge 128GB on contract, the a watch that has less functions than it nearest competitors. Of for 349, you can buy a watch where you can leave the phone at home, and not miss a call, and have your heart monitor and more. Even works with wireless headphones - GEAR S. I like gimmicky toys too, but the also need to have a reasonable purpose as well. The watch does the same thing your phone does except make calls, so whats the benefit other than see I have a watch from the same brand as my phone? I ask this because that is how I felt when I got the first Galaxy Gear. It as a waste of money, but at least I got $200 when I sold it a month later. I said I would try another unless it met some strict rules - It has to be standalone and it had to have cellular capabilities so I can leave my phone at home and it had to have health apps. I am not saying get a Gear S. I am saying, before you buy Apple's offering, don't go for the bling thing, go for something with substance. After all why pay more for less when you can pay less and get far more.

19. darkkjedii

Posts: 31310; Member since: Feb 05, 2011

If you're directing this rant of a post at me, and I'm sure you were, it's a complete waste of time and battery. Let me says this: I'll spend my money on what I damn well please. I work for it, I prioritize it, and I manage it. You spend your 349 on whatever the hell you want, and I'll do the same. Put plainly, I don't want a Gear S, I want an AppleWatch, sport with a white and a blue band, and that's what I'm gonna get. I don't know who the hell you think I am, but stop believing these weirdos on PA. I'm a grown ass man, that does grown man things. Enjoy your day, and don't worry about how I spend mine.

41. g2a5b0e unregistered

Exactly. Checked. +1

49. darkkjedii

Posts: 31310; Member since: Feb 05, 2011

I mean he's got nerve bro. I'm not some little ass kid, that needs to told what to buy. I'm a techie too, I know what's what, but to me true value is buying what you actually want. Hell a Hyundai does what a BMW does, but if you want a Beamer and can afford it, then by all means. Dude got nerve with that though. +1 g2

25. tedkord

Posts: 17414; Member since: Jun 17, 2009

I'm waiting to see what the Note 5 has to offer (and if anyone else can wow me in the meantime.)

26. darkkjedii

Posts: 31310; Member since: Feb 05, 2011

Interesting year for it. Will it follow the S6, or maintain its design and pros.

28. JaneChenLong

Posts: 374; Member since: Mar 18, 2015

me too. For me the S6 is too small.

34. gaming64 unregistered

Is the Note 4 gonna get discounted when Note 5 is released? I mean, dang it still rocks even by 2015 standards. Looking forward to it :D

69. j2001m

Posts: 3061; Member since: Apr 28, 2014

Sorry I got both note edge and the s6 edge, the note crap slow over my s6 edge, Samsung done real damage its faster then my iPad Air 2, it's just so fast, the cam is very fast and is 100% better than the note edge/4, I have no idea what was all this about it being close, it also works way better indoors, and I not had my software update from ee so it's only going to get better

7. TylerGrunter

Posts: 1544; Member since: Feb 16, 2012

May be there are still people who want to be able to use their phones with just one hand :D

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