Analyst: Introduction of iPhone 3G to boost sales

by Stevie Smith - Mar 31 2008, 14:58

Repeated rumbles of disappointment associated with the iPhone’s restrictive reliance on the substandard EDGE network could well be silenced by Apple’s plans to launch a 3G model in June, if a recent research note from a Bank of America (BoA) analyst is to be believed.

3G iPhone expected to increase Apple sales in June. Credit: Apple.

According to the BofA’s Scott Craig, Apple’s order for 11 million iPhone units in 2008 (split between EDGE and 3G models) represents a significant production increase that could deliver a sizeable boost to the California-based gadget company’s overall market performance. BofA offers that Apple will sell around 8 million iPhone units this year.However, other analyst feedback on the proposed order numbers suggests that Apple’s production target is overstated (something Apple is prone to do), and that only around 50 percent of the planned 11 million units will be manufactured, with around one million 3G phones ready for the June launch with a further 4 to 5 million iPhones likely to arrive before the close of 2008.Other sources in close keeping with Apple’s situation have speculated that the unveiling of AT&T’s much quicker 3G iPhone variant, which will come equipped with a range of new features, will also lead to Apple implementing yet another round of price cuts across its older EDGE model, reports CNNMoney. However, despite the demographic appeal of tiered models and pricing, and how Apple’s iPhone order figures for 2008 translate into actual physical stock, the high-profile and undeniably trend-conscious tech company won’t be standing alone on the smartphone battlefield throughout the remainder of the year.Specifically, rival manufacturers such as Sony Ericsson and Research In Motion (RIM) will also be attempting to lure consumers with expansive features and sleek, diminutive design. Sony Ericsson has already raised a few eyebrows with its soon-to-be-released touch-screen Xperia smartphone, while expectations are growing for the unveiling of RIM’s new BlackBerry 900 handset.

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Mohamed Hisham - Cairo,EgyptMar 31st, 2008 - 16:41:13

That is a good move but Apple have to move faster than that as the majority of top cellphone makers arund the world are ready to move to the following step the 3.5G cellphones.

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