Ah yes, more speculation about the iPhone 6 from analysts using so-called “supply chain” information, which Apple Inc. (NASDAQ:AAPL) has warned us about in the past. But investors and analysts love to speculate about a device that doesn’t even exist yet, so let’s see what Nomura analysts have to say on the topic.
iPhone 6 with a bigger screen expected
More and more analysts are convinced that Apple Inc. (NASDAQ:AAPL) is working on an iPhone 6 with a larger screen. It’s pretty much a given at this point, and if the company doesn’t deliver, there’s going to be trouble in paradise. Even Donald Trump is demanding a bigger screen on his iPhone. Nomura analyst Anne Lee and her team say their “industry analysis and supply chain survey” suggest that the iPhone 6 will have a screen that’s between 4.7 inches and 5.5 inches in size.
Is It A Good Time to Be a Stock Picker? Interview With Worm Capital
ValueWalk's Raul Panganiban interviews Eric Markowitz, Director of Research, and Dan Crowley, Director of Portfolio Management, at Worm Capital. In today’s episode they discuss their approach at Worm Capital and where they find opportunities. Q4 2020 hedge fund letters, conferences and more Interview with Worm Capital's Eric Markowitz and Dan Crowley
Personally, I would think Apple Inc. (NASDAQ:AAPL) would be aiming toward the bottom of that range. The company seems set on slowly inching its screen size upward rather than taking a huge leap like other handset makers, but I could be wrong. Nomura analysts say the key deciding factor for how large the iPhone 6 screen will end up will depend on how well in-cell technology can be scaled up to a larger size. They believe Apple Inc. (NASDAQ:AAPL) is having touch panel makers send samples for testing.
Other expectations for the iPhone 6
Nomura analysts also believe the iPhone 6 will have a 64-bit 20 nm processor, a better camera and a “redesigned acoustic system.” While many argue that Apple Inc. (NASDAQ:AAPL) has fallen behind in innovation (and I would agree), Nomura analysts see Apple as already being ahead of the curve in smartphone innovation because of the 64-bit processor, which is the first in a smartphone. They believe the addition of 20 nm will happen next year and keep Apple ahead of the curve.
They’re also expecting to see optical image stabilization to be added to the iPhone 6’s camera and the integration of the touch IC with the display driver IC. The analysts are expecting the iPhone 6 to be out in the third fiscal quarter of 2014, which would be the June quarter for Apple.
Apple could also be working on a bigger tablet
Nomura analysts also believe Apple Inc. (NASDAQ:AAPL) is working on increasing the size of its tablet by adding on a 12-inch to 12.9-inch two in one device. They suggest that this is either a bigger iPad or otherwise a detachable MacBook Air. They believe that the device will have a Retina display and possibly use Apple’s own A8 processor with 64-bit ARM architecture.