Tuesday, 26 April 2016

Apple's iPhone 7 problem

You could be forgiven if you haven't been all that excited by Apple's new products in 2016. That's because all three of them -- the iPhone SE, the 9.7-inch iPad Pro and the new 12-inch MacBook -- all look exactly like their predecessors.
To be clear, they're all excellent products that CNET scored 4 stars and above. But they all suffer from Apple's "S" phone factor: this year's tech wrapped up in last year's design.
That shouldn't be a problem for the iPhone 7. Apple's presumed next-generation iPhone should should follow in the footsteps of previous even-year iPhone releases, offering big design changes and (maybe) larger screen sizes.




But that iPhone will be debuting in the uncharted waters of the "peak smartphone" market. It's the new world where every manufacturer of premium phones -- the likes of Apple, Samsung, LG and HTC -- is dealing with the fact that most customers (at least in mature markets, like North America and Europe) have already made the transition from an old-fashioned flip phone to a do-it-all smartphone.

What's fraying nerves, both in Cupertino and on Wall Street, is Apple's outsize reliance on its monster iPhone sales volume -- more than two out of every three dollars of the company's revenue comes from sales of its handset. And those numbers are set to go negative (in terms of year-over-year units sold) for the first time ever in 2016. (Earnings for the first quarter will be officially announced Tuesday afternoon.)
For Apple, the stakes on its flagship phone couldn't be higher. The iPhone 7 can't just be "the best iPhone ever." It needs to be the "drop everything and upgrade to the iPhone 7 NOW" phone, even if you already have the iPhone 6 or 6S.
For you, the potential buyer, that means a can't-miss combination of must-have new features wrapped up in a killer design.
The problem? It's possible that Apple just won't be able to deliver that one-two punch in 2016.

iPhone 7's feature challenge

Every time a new iPhone is introduced, a parade of Apple executives take the stage, trumpeting what's special about the new model. For last year's iPhone 6S, we got the requisite specs bump -- faster processor, better camera -- along with a smattering of 6S-specific features: a pressure sensitive 3D Touch screen, Live Photos (which sorta kinda turn every picture you take into an animated GIF) and always-on Siri.
So what will Apple add for iPhone 7? (Don't count any nifty new iOS 10 bells and whistles -- some of which we could see as early as Apple's Worldwide Developers Conference in June -- since most of them will undoubtedly be grandfathered into most recent iPhone models.) Maybe a higher-resolution screen, a faster processor and a better camera--the same sorts of upgrades, in other words, that Apple conjures up nearly every year. But I've rarely if ever heard anyone complain about the screen quality or speed of the current iPhone models.





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