Apple Inc. (NASDAQ:AAPL) is expected to unveil the iPhone 5S and its low cost counterpart the iPhone 5C on Tuesday, and the company needs to wow consumers and investors. Barclays analysts believe Apple Inc. (NASDAQ:AAPL) needs another moment like it had when it unveiled the Siri personal assistant feature, which is now a major part of the iPhone.
Apple must set itself apart—again
Barclays analyst Ben A. Reitzes said when Apple Inc. (NASDAQ:AAPL) unveiled Siri, it wowed investors and consumers with the innovation. As a result, he said the first two quarters of the upgrade cycle for the iPhone 4S were stronger than analysts had been expecting. He said now as we look ahead to Tuesday’s media event, Apple Inc. (NASDAQ:AAPL) needs a repeat of its Siri moment to help give its stock a boost.
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Unfortunately though the analyst does not seem to think this will necessarily happen. He said since everyone pretty much knows what to expect already from Tuesday’s event, an announcement about a better China strategy, new iOS features or the rumored fingerprint scanner may be more likely to move shares.
Possibilities for Apple
Apple is planning a separate event specifically for China, with that event coming the day after the company’s big event in the U.S. Just a short while ago, The Wall Street Journal reported that Apple Inc. (NASDAQ:AAPL) had asked one of its suppliers to prepare a shipment of low cost iPhones for China Mobile Ltd. (NYSE:CHL) (HKG:941)—the world’s biggest carrier and a company which Apple has not officially announced a deal with yet.
Also it’s believed that Apple has put a fingerprint scanner right into the home button of the iPhone 5S, although it’s unknown what sorts of applications it might have. It could be used for payments or to unlock the device as a way to discourage thieves from stealing iPhones.
Will Apple wow next year instead?
The Barclays analyst believes though that next year’s iPhone will be more likely to have the “wow” factor he and others are looking for. He said Apple Inc. (NASDAQ:AAPL) has missed the trend for larger screens on handsets, although he notes that a bigger screened iPhone as well as an iPad Mini with a Retina display could make an appearance next year.