Analyst: Apple Plans New iPhones With Larger and Smaller Displays



Over in the world of Android smartphones, one form factor that has been seeing an increasing push from handset makers is the 4.3 inch touchscreen phone, best exemplified by the likes of the Motorola Droid X and HTC EVO 4G. That’s significantly larger than the iPhone’s 3.5-inch touchscreen.

While many companies are embracing this larger display, which makes internet browsing a lot easier at the expense of pocketability, it’s unclear if consumers really prefer it… which makes the claims of one Wall Street analyst that Apple will expand the iPhone line with a series of handsets with larger displays pretty suspect.

According to Shaw Wu, a Wall Street analyst from Kaufman Brothers, sources familiar with Apple’s overseas suppliers say that Apple is considering larger as well as smaller displays for its iPhone line.

“We believe Apple moving to a more complete iPhone product line makes strategic sense in that its iPhone 4 addresses only the high-end of the market. We think Apple should take a page out of its iPod playbook where it has had a lot (of) success with a 3-tier strategy addressing entry-level, mid-range and high-end, making it difficult for competitors,” said Wu.

Unlikely, we say. Wu is missing the point entirely: Apple’s already got a three tier-strategy, not for the iPhone, but for iOS. The iPod Touch is for people who want a multitouch, internet capable media player and gaming console; the iPhone is for those who want a smartphone; and the iPad is for browsing, productivity and media consumption. That strategy’s working perfectly so far; why would Apple therefore ape the strategy being employed by handset makers enjoying considerably less success?