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Will the Apple iPhone Join the Large-Screen Trend?

New high end apple iPhone's on the rise? The evolution of the smartphone is bigger more powerful and fancier than smaller, leaner, faster and nimbler.

New high end apple iPhone’s on the rise? The evolution of the smartphone is bigger more powerful and fancier than smaller, leaner, faster and nimbler.

The trend in smart phone technology is not smaller, leaner, faster and nimbler. It is towards bigger more powerful and fancier. Well, at least that is how the upper end of the market is evolving. In other words, the market is evolving towards phablets. Need any proof? Just look at the Samsung Galaxy Note. Look at the Samsung S4 and S3. Things are getting bigger on the high end of the smartphone market and if Apple wants to stay relevant, it needs to keep up with the big boys.

According to word on the street, this is precisely what Apple is intending to do. The company is supposedly slated to release two large-screen versions of its premium iPhone series this coming year. This would be a big deal because it plays to Apple’s strong points. Apple’s strong point is the premium market. We are talking about people who are willing to pay several hundred dollars every single year or every two years just to get their hands on a device that has that cool little apple logo in the back.

The truth is the smart phone technology is evolving that it has become a race to the bottom. As more and more cheap manufactures entered the market, the price of typical android phone crashes down to earth. This puts Samsung at a great disadvantage. Samsung has a stake claim to the high end side of the android market. The open question is, can this market last for long. The smartphone market is really beginning to look like a luxury and a mass market all in one. On the luxury end, of course, are players like Apple and Samsung. On the mass-market end, are no-name manufacturers that crank out android powerful smart phones for cents on the dollar.

At the end of the day, it’s going to be a movement by the vast bulk of the market towards cheaper phones. The only remaining question is will there be enough demand to sustain more than one or two players at the high end of the market. Obviously, Samsung is betting on the affirmative. Our bet will be that, it would be Apple holding this. A good way to think about it is like the car market. Anybody could come up with a cheap car. In India, there is a 25,000 dollar car. That’s not the problem, the problem is who will pay for the really high-end side of the market. We’re talking over 250,000 to 300,000 dollars. That’s where you get the Ferraris, the Lamborghinis, the Maseratis, the Bentleys, those kinds of brands. And when it comes to smartphone, the Apple is definitely the Maserati, the Lamborghini, the Ferrari of that market.

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