Apple Inc. (NASDAQ:AAPL) could soon launch two iPhones per year. Katy Huberty, an analyst for Morgan Stanley (NYSE:MS), sent a note to investors on Wednesday morning predicting an iPhone line divergence, and describing it as a nice approach. Thanks to conversations with Apple CEO Tim Cook and chief financial officer Peter Oppenheimer, Huberty expects Apple Inc. (NASDAQ:AAPL) to separately launch two iPhones a year. This would be similar to the separate launches of the iPad 3 and iPad 4 last year.
The Cupertino-based tech giant used to reserve September as the month for iPod updates. Now, it’s all about the iPhone and we’ve yet to see a refreshed update for the iPod lineup this year.
Huberty also mentioned that services are a big profit maker for Apple Inc. (NASDAQ:AAPL), which has almost 600 million high-end customer accounts and most of them are linked to credit cards.
Right now, most of Apple’s services are either free or low cost. The new iTunes Match service costs just $25.00 a year and it allows downloads/streams to any user devices. There is also iTunes Radio, a completely free service that’s similar to Pandora’s customized radio.
Apple fans anticipate new products frequently
Some analysts speculate Apple Inc. (NASDAQ:AAPL) is in the early stages of using Touch ID with iOS 7 iBeacons (which is Bluetooth based) to form a new payment system for mobile devices. This has a strong possibility of bringing more revenue for Apple.
Apple Inc. (NASDAQ:AAPL) fans anticipate new products frequently. Rumors and speculations for the iPhone 6 began before the iPhone 5S was launched. Instead of having to wait once a year for something new from Apple, a bi-annual release would satisfy customers and give them something to look forward to.
Apple still has a lead in the overall mobile market
The company still has a lead in the overall mobile market. It’s highly unlikely that Apple Inc. (NASDAQ:AAPL) will lose their hold on the market but that doesn’t mean the company shouldn’t move forward with newer ideas.