China Mobile

60 'China Mobile' stories July 2011 - December 2013

China Mobile aggressively showcasing iPhones & iPads during initial launch with Apple

Zac Hall Dec 13 2013 - 9:44 am PT

(via <a href="http://prcand.me/posts/2013/12/13/look-what-i-found-iphones-at-china-mobile" target="_blank">prcand.me</a>)

Apple and China Mobile appear to be taking their newly established partnership and marketing it proudly as the Chinese service provider has devoted a majority of one of its retail locations to the iPhone and iPad line.

PRC and Me shared several photos taken at the retail location showing several ads and marketing material dedicated to the Apple products in a store once dominated by Samsung and other Android handsets.
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iPhone market share in China more than doubled following 5s and 5c launch

Ben Lovejoy Dec 12 2013 - 5:11 am PT

3 Comments

Data from smartphone market intelligence specialist Counterpoint shows that iPhone market share in China more than doubled between September and October even before launching on the country’s biggest carrier, China Mobile.

Apple’s market share rose from just under 5 percent to 12 percent, taking it from 6th place to 3rd place, behind Samsung and Lenovo …
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Get your subsidized iPhones while you can – AT&T says the deals can’t last

Ben Lovejoy Dec 11 2013 - 4:57 am PT

31 Comments

AT&T’s CEO Randall Stephenson told investors yesterday that with smartphone penetration approaching 90 percent, the existing business model – where carriers sell highly-subsidized smartphones to drive demand – will have to change.

When you’re growing the business initially, you have to do aggressive device subsidies to get people on the network. But as you approach 90 percent penetration, you move into maintenance mode. That means more device upgrades. And the model has to change. You can’t afford to subsidize devices like that.

Many U.S. iPhone buyers don’t realise the true cost of their handsets, as carrier subsidies mean they typically pay no more than $200. The full retail cost of those handsets, however, ranges from $549 for a 16GB iPhone 5c to $849 for a 64GB iPhone 5s. The balance is paid by the carrier, then clawed back through the contract payments …
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China Mobile iPhone preorders start from Thursday, ship from the 18th

Benjamin Mayo Dec 9 2013 - 2:44 am PT

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A screenshot from China Mobile’s website, advertisng the 12th December preorder date.

The Wall Street Journal is reporting that whilst China Mobile’s 4G services do not launch until the 18th, the carrier will open preorders for the iPhone from this Thursday, the 12th of December.

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WSJ: Apple and China Mobile strike a deal, iPhone finally headed to world’s largest mobile carrier around Dec. 18

Mike Beasley Dec 4 2013 - 5:52 pm PT

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The Wall Street Journal reports that Apple has finally reached an agreement with China Mobile to carry the iPhone. China Mobile is currently the world’s largest mobile carrier with well over 700 million subscribers. Yesterday a subsidiary of the carrier started taking pre-orders for the smartphone, though the page was quickly pulled from its website.

[tweet https://twitter.com/MarketWatch/status/408416053140946945 align=’center’]

In September the advertisment above leaked to the media. The image is a promotion for the iPhone 5s and 5c running on China Mobile’s network. The Chinese government, which controls China Mobile, confirmed that the phone would be available on December 18th last month, although neither Apple nor China Mobile would actually confirm the rumor.

China Mobile subsidiary briefly accepting pre-orders for iPhones in possible soft launch

Ben Lovejoy Dec 3 2013 - 4:20 am PT

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With the iPhone launch on the biggest carrier in the world’s most populated market confirmed for 18th December, Fortune spotted what appears to have been a soft launch in the city of Suzhou. The city is one of the richest in China, so would be a logical place for an early launch.

The attached screen grab comes from a website owned by a subsidiary of China Mobile Limited in Suzhou, a city of 5 million just west of Shanghai.

The site went live late Monday local time, when it began taking pre-orders for the iPhone 5S and iPhone 5C …
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China Mobile launch for iPhone as good as confirmed for 18th December [Update: It’s official]

Ben Lovejoy Nov 21 2013 - 6:13 am PT

1 Comment

Image: appadvice.com

Update: The Chinese government has now confirmed this date.

The iPhone looks set to be launched by China Mobile – the biggest carrier in the world’s biggest country – on Wednesday 18th December, reports the WSJ. While neither the carrier nor Apple have made a definitive announcement, China Mobile has said this is the date it will “introduce a new brand.”

The launch is expected during the company’s 4G global partners conference in Guangzhou, according to China Mobile’s website. An executive at the world’s largest mobile operator has said it is ready to start fourth-generation mobile services, though China has yet to issue 4G licenses. In September, China’s Telecom Equipment Certification Center gave Apple Inc.the final license necessary for the iPhone to run on China Mobile’s network …
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Apple TD-LTE job listing serves as additional confirmation for China Mobile iPhone

Jordan Kahn Oct 9 2013 - 7:18 am PT

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While a possible deal with China Mobile, one of the world’s largest telecoms, was rumored for quite sometime leading up to launch of the new iPhones, the company said in August that it was still working out “commercial and technical issues” with Apple. Today, Bloomberg points us to an Apple job listing in China that provides some evidence that the company is indeed preparing to launch the iPhone on the carrier’s network:

The manager, who will be based in Beijing, will “support and drive the carrier approval of mobile phones,” Apple said in an advertisement on its China website. The position seeks experience with TD-SCDMA, China Mobile’s own third-generation standard that isn’t used by other carriers.

On top of TD-SCDMA, the job listing is also seeking an engineer with experience in TD-LTE, which is the LTE standard that China Mobile has quickly been rolling out. Back in August the often reliable KGI analyst Mingchi Kuo claimed that Apple was ramping up TD-LTE supported iPhone 5c production and estimated that the iPhone 5s and 5c on China Mobile could account for penetration of 25% and 35% of total shipments for the two devices. Currently the carrier has approximately 756 million subscribers, around 63% of the 1.2 billion wireless subscribers in China.
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China Mobile posters for the iPhone 5s and 5c leak, 4G certification imminent

Benjamin Mayo Sep 26 2013 - 3:16 am PT

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Supposed posters from China Mobile promoting the iPhone 5s and 5c have leaked out, touting “the strongest iPhone in China” (via UnwiredView). The ‘100’ visible on the poster indicates the network’s 100Mb/s maximum speed will be supported by the iPhone. Naturally, the iPhone will be China Mobile’s flagship 4G phone.

Apple has already received the necessary certification to put the iPhone on all Chinese spectrum, including the TD-LTE strand used by China Mobile, earlier this month. Now, the only holdup is getting permission from the MITT governing body to let China Mobile use the spectrum on a commercial basis.

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China Mobile already has 42M iPhone users ahead of anticipated Apple deal, says Chinese tech site

Ben Lovejoy Sep 16 2013 - 5:20 am PT

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Image: Forbes.com

There were already 42M iPhones in use on China Mobile‘s network even before Apple’s anticipated deal with the carrier to offer the handset officially, claims Chinese site SinaTech.

Up to now, China Mobile iPhone users in the network has reached 42 million, which has exceeded the U.S. AT & T and Verizon combined sales of the two operators …

42 million is a huge number, especially when you consider that none of them were subsidised: all had to have been purchased at full price. If true, you can see why the potential for subsidised handsets in China is massive …
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Samsung responds to new iPhones: will focus on China, says 64-bit chips coming for Galaxy phones

Benjamin Mayo Sep 12 2013 - 4:21 am PT

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In an interview with the Korea Times, Samsung executives respond to Apple’s recent announcements in typical Samsung fashion. In order to better compete with Apple in China, Samsung confirmed that it would focus more on the huge Mainland market.

For example, the company says it has received clearance from Chinese authorities to sell TDD-LTE devices, to enable Samsung to offer phones that work on the world’s largest carrier, China Mobile. As a result of “changing market situations” (i.e. Apple), Samsung is accelerating its schedule for releasing these Chinese-friendly devices. Apple is expected to announce a partnership with China Mobile to sell the iPhone before the end of the year.

In addition, Shin, Samsung’s co-CEO announced that Samsung’s next Galaxy phones will feature 64-bit architectures, to rival the A7 in the iPhone 5s.

“Not in the shortest time. But yes, our next smartphones will have 64-bit processing functionality,” Shin said, adding he followed the media coverage of Apple’s new iPhone.

Shin’s noncommittal reply indicates that although 64-bit chips are on the roadmap, they will not arrive this year. Meanwhile, the iPhone 5s ships on September 20th.
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All systems go for iPhone in China as regulator signs off final license

Ben Lovejoy Sep 11 2013 - 4:32 am PT

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Photo: mshcdn.com

Apple now has all three of the licenses needed to allow the new iPhones to be used on China’s three major carriers: China Mobile, China Unicom and China Telecom. The WSJ reports that the final license was issued today.

According to the website of China’s Telecom Equipment Certification Center Wednesday, Apple was given a “network access license” for a handset resembling the iPhone that runs on the mobile standards used by China Mobile for third and fourth generation cellular services.

Apple announced yesterday that both iPhone 5c and iPhone 5s would go on sale in China on September 20th, in parallel with the US launch.

Analysts have estimated that Chinese and Japanese sales combined could add up to an extra 38M handsets a year.

Apple brings iPhone 5s & 5c to Japan’s NTT DOCOMO, consolidates models with more LTE bands

Jordan Kahn Sep 10 2013 - 1:30 pm PT

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As rumored leading up to today’s event, Apple announced today that it has struck a deal with NTT DOCOMO to bring its new iPhone lineup to Japan’s largest carrier when the device launches in multiple countries later this month. On September 20th the iPhone will launch on the carrier for the first time and Apple will also launch a single model of the iPhone 5c and iPhone 5s in Japan for KDDI and Softbank. Thanks to an increase to 13 LTE bands with the new iPhone 5s and 5c— which Apple says is more than any other smartphone– it will also be able to consolidate various models of iPhones for multiple carriers in other countries.

More LTE bands means that Apple will now be offering a single iPhone 5s and 5c model for AT&T and Verizon in the US (Sprint will still get its own model), while customers in the UK will be able to use a single iPhone model for EE, Vodafone, and Three’s upcoming LTE network. Apple will also have an TD-LTE compatible version of the new iPhones, but rumors of a deal with the world’s largest telecom, China Mobile, have not yet been confirmed.

Apple does plan to launch the new iPhones in China on September 20th alongside launches in the US, Australia, Canada, Germany, France, Singapore, UK, and Japan.

NTT DOCOMO & Apple Team Up to Offer iPhone in Japan on Friday, September 20

TOKYO and CUPERTINO, California—September 10, 2013—NTT DOCOMO and Apple® today announced that iPhone® 5s, the most forward-thinking smartphone in the world, and iPhone 5c, the most colorful iPhone yet, will be available on the DOCOMO network beginning on Friday, September 20. iPhone 5s features an all-new A7 chip, making iPhone 5s the world’s first smartphone with 64-bit desktop-class architecture for blazing fast performance, an all-new 8 megapixel iSight® camera and introduces Touch ID™, an innovative way to simply and securely unlock your iPhone. iPhone 5c features an all-new design, packed with incredible features that people know and love, in five gorgeous colors—blue, green, pink, yellow and white.

“We’re thrilled to offer the incredible new iPhone 5s and iPhone 5c to our customers,” said Kaoru Kato, President and CEO of NTT DOCOMO, Inc. “We know our customers will enjoy the amazing experience of iPhone on DOCOMO’s high-quality network.”

“NTT DOCOMO has built an impressive network, the largest in the nation with over 60 million customers,” said Tim Cook, Apple’s CEO. “We’ve enjoyed tremendous success with iPhone in Japan, in fact it’s the top selling smartphone in the country, and we look forward to delivering iPhone into even more customers’ hands through NTT DOCOMO.”

With the launch of the new iPhone 5s, iPhone 5c and iOS 7, Apple is ushering in the next generation of mobile computing, delivering an incredible new hardware and software experience that only Apple could create. iPhone 5s redefines the best smartphone experience in the world with amazing new features all packed into a remarkable thin and light design, including the Apple-designed A7 64-bit chip, all-new 8 megapixel iSight camera with True Tone flash and introducing Touch ID, an innovative way to simply and securely unlock your phone with just the touch of a finger. iPhone 5c features an all new-design, packed with features people know and love like the beautiful 4-inch Retina® display, blazing fast performance of the A6 chip, and the 8 megapixel iSight camera—all while delivering great battery life.¹ iPhone 5s and iPhone 5c both offer more LTE bands² than any other smartphone in the world and include all-new FaceTime® HD cameras.

iPhone 5s and iPhone 5c feature iOS 7, the most significant iOS update since the original iPhone, featuring a stunning new user interface, completely redesigned with an elegant color palette, distinct, functional layers and subtle motion that make it feel more alive. iOS 7 has hundreds of great new features, including Control Center, Notification Center, improved Multitasking, AirDrop®, enhanced Photos, Safari®, Siri® and introduces iTunes Radio℠, a free Internet radio service based on the music you listen to on iTunes.³

Beginning on Friday, September 13, customers can pre-order iPhone 5c at DOCOMO dealers⁴ and the first 30,000 docomo Premier Club Premier Stage⁵ customers can pre-order from DOCOMO’s website.⁶

WSJ: China Mobile to carry the less-expensive iPhone 5C

Scott Buscemi Sep 6 2013 - 12:46 pm PT

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https://twitter.com/iansherr/status/376067936923824128

The less-expensive iPhone, dubbed ‘iPhone 5C’ unofficially for now, will be coming to China Mobile, according to WSJ. Apple’s CEO Tim Cook was in China last month to speak with China Mobile’s executives about the deal. We had heard whispers and rumors from analysts and other spectators about the news, but WSJ’s confirmation adds massive credibility to the news.

It isn’t clear if Apple and China Mobile have signed an official sales agreement, but the fact that Apple is planning to ship phones implies a deal has been struck.

Apple has asked Foxconn, its longtime contract manufacturing partner, to add China Mobile to the list of carriers slated to receive a new low-cost iPhone, one of these people said. It isn’t clear when the phones would be delivered. Apple is shipping two new iPhones this September, according to people familiar with the company’s plans, including a new high-end model and a cheaper version.

Apple will be holding a satellite media event in China for the first time, joining events in Tokyo and Berlin (and Cupertino, of course). It looks like this upcoming iPhone launch will be the biggest ever across the globe, and analysts are expecting that the new carriers – which includes DoCoMo, Japan’s largest carrier – will double launch week sales.

Update: Bloomberg says that the China Mobile iPhone, while coming, won’t be announced at the September 10th event.

https://twitter.com/markgurman/status/376081475730300928

Analysts predicting record iPhone launch, China & Japan deals adding up to 38M extra sales

Ben Lovejoy Sep 6 2013 - 6:03 am PT

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Photo: mshcdn.com

Analysts are predicting the the launch of the iPhone 5S and 5C will set new records for Apple with the company selling up to 13M handsets in the first nine days following the predicted availability date of 20th September. That’s close to double the 7M phones sold in the first nine days of the iPhone 5 launch.

The prediction is made by Pacific Crest analyst Andy Hargreaves, cited by AllThingsD:

For Hargreaves, that means fourth-quarter iPhone sales of 31 million iPhones. Of those, he figures 10 million will be the new models. That’s a big number considering the limited number of selling days left in the quarter, but Hargreaves feels it could go higher still — to 13 million, with some “extremely efficient supply chain management” …
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China Telecom apparently slips iPhone 5S, 5C arriving in China at launch, temporarily offers pre-orders

Mark Gurman Sep 5 2013 - 11:28 am PT

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“Gold” iPhone 5S backplate

China Telecom, one of the carriers in China to carry Apple’s iPhone, posted a message on microblogging website Weibo indicating that it will soon carry both of Apple’s upcoming iPhones: the iPhone 5S and iPhone 5C. The message has since been deleted.

With Apple holding a satellite stream of the September 10th media event in China, it is already likely that the country will see a promoted launch of both of the new iPhones. However, the information from China Telecom seems to indicate that the launch will occur early in Apple’s new iPhone release cycle. With past iPhone launches, Apple saved the China debut for weeks or months after the device’s first hit countries like the United States, Germany, and Australia.

A post on Sina indicates a September 20th launch, a date forecasted by some reports.

Perhaps corroborating a launch soon after the unveiling, major China-based retailer Dixintong is said to begin carrying the new iPhones on September 25th. It’s unclear if this is a general launch date for China, or just the date that this specific retailer has chosen.

In addition to seeing the device early-on in the release plan, recent chatter seems to indicate that China Mobile, the largest mobile carrier in the country, will gain the iPhone with the launches of the iPhone 5S and iPhone 5C. The lower-cost, plastic backed iPhone 5C seems to have been developed with markets such as China in mind…

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What did Apple have to concede to get the China Mobile deal?

Ben Lovejoy Sep 5 2013 - 7:50 am PT

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Photo: David Paul Morris/Bloomberg

Bloomberg is running an interesting piece speculating that Apple may be having to concede far more than it might wish in order to sign the all-important deal with China Mobile.

“In this relationship, China Mobile has all of the power,” said Edward Zabitsky, chief executive officer of Toronto-based ACI Research. “China Mobile will offer the iPhone as soon as Apple gives in on price.”

It is, as the piece observes, rather an unusual position for Apple to find itself in: the weaker party in negotiations with a carrier.

Speculation has encompassed significant discounts, a contribution to marketing spend and even a share of App Store revenue.

“China Mobile certainly believes they should be able to get a part of the content pie,” said HSBC’s Tucker Grinnan in Hong Kong. “Apple is going to have to be a bit more flexible on how they approach that.”

We’d be pretty astonished if Apple were willing to go that far, but it does need to bring this deal home, and its press event in Beijing on 11th September (the day after its global media event) creates a deadline it has to hit.

Other possibilities are offering exclusives on new models for a limited time, or exclusive colors. Neither would be at all likely in normal circumstances, but these circumstances are far from normal.

We may never get to learn the precise terms of the deal, but one thing will be very visible: the cost of the handsets. In a country where low-cost handsets proliferate, the expectation is that China Mobile wants price concessions not to boost its margins, but rather to make the iPhone 5C in particular sufficiently attractive to local buyers.

Japan’s largest wireless carrier, NTT DoCoMo, reportedly in talks to sell iPhone

Seth Weintraub Aug 26 2013 - 1:37 am PT

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iPhone 5S Champagne

Bloomberg is reporting that shares of NTT DoCoMo are rising on rumors that Japan’s largest carrier will get the iPhone this year. The company’s rivals, KDDI and Softbank (who just bought Sprint) both currently carry the iPhone and saw their share price drop in morning trading.

[DoCoMo]Chief Financial Officer Kazuto Tsubouchi said there are compelling reasons for Apple and his company to reach an agreement, according to an interview published in SankeiBiz. For Apple, it doesn’t make business sense not to allow Japan’s largest wireless carrier to sell the iPhone, while DoCoMo wants to be able to sell most popular handsets, Sankei said.

The original Sankei article is here (translated) with the relevant bit translated by 9to5Mac reader Kazuto Kusakari:

A new iPhone from Apple is expected in September. The Japanese market are paying close attention to whether NTT docomo will be selling the new model or not. Having sold two other models as their main phones in the past summer season, the company is ready, as the vice-president Kazuto Tsubouchi has commented “the only problem is WHEN we are going to sell it.”…

Tsubouchi adds, “Nothing has changed. It will be difficult (to sell the iPhone on September 10th). But for Apple, it is not economically reasonable to not sell the iPhone on Japan’s largest carrier. As for NTT docomo, we must sell phone the customers desire. It’s a matter of terms.

Apple is also working on China’s largest carrier, China Mobile, which also doesn’t currently carry the iPhone. If Apple can hook one or optimally both of these two monster carriers, it will be able to sell significantly more iPhones in Asia.
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China Mobile said to be ‘keen’ on selling iPhone, issues that remain are ‘commercial and technical’

Seth Weintraub Aug 15 2013 - 3:12 am PT

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China Mobile Chairman Xi Guohua

China Mobile, the world’s largest Telecom with close to 700M subscribers, reported mixed earnings today on slow growth of its smartphone business relative to its competitors which both carry the iPhone. Chairman Xi Guohua noted this and said that talks with Apple on carrying the iPhone were progressing.

“Both sides sounded keen (during recent talks),” Xi told a news conference after announcing the company’s first-half results.

“Good progress was made in preparing for the commercialization of TD-LTE,” Xi said, referring to 4G “long-term evolution” network technology that may support newer iPhone models.

Dow Jones’ Paul Mozur noted the remaining issues to be worked out:

#ChinaMobile Chairman says company still having commercial and technical issues with Apple that need to be resolved to sell iPhone

— Paul Mozur 孟建國 (@paulmozur) August 15, 2013

Working out the hurdles and signing up the world’s largest telecom would obviously be a big win for Apple and CEO Tim Cook, who would probably love to announce the carrier relationship at the upcoming September 10th iPhone event in San Francisco.
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Tim Cook visits China again hoping to entice local carriers with upcoming iPhones

Seth Weintraub Jul 30 2013 - 12:35 am PT

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January File Photo

According to a local Chinese report, Apple CEO Tim Cook was recently back in China hoping to jumpstart relations with Chinese carriers this week. Cook met with China Telecom, already a strong Apple partner. The topic of conversation wasn’t revealed but likely on the plate is Apple’s lower cost plastic iPhone, perhaps called the iPhone 5C, and overall flattening growth in Apple’s second biggest market.

Apple CEO Tim Cook in China, visited with China Telecom, possibly to talk about declining iPhone sales, say local reports.

— Michael Kan (@Michael_Kan) July 30, 2013

The article speculates that he probably met with the other local carriers including partner China Unicom and the world’s biggest carrier, China Mobile who has around 700M subscribers – none of which have direct access to Apple’s iPhone yet.

It is Cook’s third known trip to China since he took over as CEO almost two years ago. Other things that may come up include Pegatron’s supposed worker violation issues and perhaps even another Beijing scalping problem.

Rough translation below:
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Apple analyst Gene Munster still clinging to HDTV this year, warns no major product announcements until June iPhone 5S launch (Video)

Jordan Kahn Mar 26 2013 - 7:56 am PT

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[ooyala code=”1rcW5oYTpTmicot6ItPNIE4t19rtj_tb” player_id=”undefined”]

Piper Jaffray Apple analyst Gene Munster is out today with an updated outlook for the company, warning that Apple will not have any major product announcements until June and likely miss its June guidance with lower-than-expected iPhone and Mac sales.

In other words, the Retina iPad mini he predicted would launch in March—not happening. Instead, Munster said Apple could announce an incremental upgrade to iPad or iTunes in April and wouldn’t have a major product announcement until the iPhone 5S lands in late June. He also told Bloomberg this morning (video above) that a cheaper iPhone would be announced in September through a deal with China Mobile and ship in September or October.

Gene still prays for an Apple HDTV this year, telling Bloomberg this morning there is “no question whether it’s a set-top box versus a TV, it’s an actual TV.” He hopes Apple will announce its full-fledged television set by the end of the year.

Gene also thought Apple’s iWatch won’t make an appearance until 2014, while also noting that wearable technology has an opportunity to cannibalize the phone market within 5 to 10 years.

iPhone 5 coming soon to regional carrier Strata Networks covering Idaho, Utah and Colorado

Jordan Kahn Mar 6 2013 - 5:42 am PT

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It looks like another regional carrier is set to receive the iPhone 5. While it has yet to post pricing or exact availability dates, Utah-based Strata Networks recently started advertising that the device is “coming soon” to its network. In November, Strata officially rolled out its LTE network, the first in the Uintah Basin covering several counties in Utah, and the carrier also has local coverage in Idaho, Utah, and Colorado. A map of the carrier’s LTE coverage in Utah is below, while a full map of nationwide coverage can be found here.

Many other regional carriers have been known to offer the device at a discounted price compared to Apple and the major carriers with the iPhone 5 starting at $149 on a two-year contract through many. We’ll update when Strata confirms pricing and availability.

Hong Kong carrier seeks judicial review of Apple’s iPhone network locking practices

Jordan Kahn Feb 22 2013 - 9:00 am PT

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After discovering the iPhone 5 would not function on its fourth-generation network, Hong Kong Telecom, a unit of telecommunications operator PCCW Ltd., filed a complaint with regulators in the country seeking a review of Apple’s iPhone locking practices. The Wall Street Journal reported HKT is now after a review from the courts regarding the way its initial complaint was handled. This could lead to a legal case against Apple’s over its locking policies:

HKT is seeking a judicial review of the way in which the regulator has dealt with the case. The regulator declined to comment on the case, citing current litigation.If the court chooses to grant a judicial review, it would open the way to the city’s first legal challenge of Apple’s locking practices in Hong Kong.

Bloomberg added that PCCW requested regulators investigate the blocking of iPhones on certain carriers including China Mobile and its own HKT:

Apple Inc. (AAPL)’s iPhone 5 is blocked from connecting to the fourth-generation wireless networks of PCCW and China Mobile Ltd. (941), while the smartphone can connect to rivals’ 4G high-speed networks, Hong Kong-based PCCW said in court documents obtained by Bloomberg News and dated Feb. 20… PCCW asked the regulator to investigate the locking of the smartphone, which restricts subscribers through SIM cards programmed to work with particular carrier networks, according to the documents.

Analyst more confident low-cost iPhone is on the way following meeting with Apple’s CFO

Jordan Kahn Feb 22 2013 - 6:51 am PT

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Morgan Stanley analyst Katy Huberty issued a note to clients today claiming she is even more confident Apple will introduce a low-cost iPhone following a meeting with Apple CFO Peter Oppenheimer. This certainly isn’t the first time we’ve heard an analyst discuss the much-rumored low-cost iPhone. Since its release, the success of the lower-priced iPad mini has been the rationale behind many analysts prediction of a less expensive iPhone expected to launch sometime later this year. We’re not so sure Oppenheimer let anything slip that we wouldn’t have otherwise heard at the most recent earnings call, but Huberty wrote she is even more confident that the device is in the works following the meeting with the Apple executive (via BusinessInsider). Her reasoning: success of the iPad mini in emerging markets, desire among Chinese consumers to purchase a new, low-cost device, and the continued success of iPhone 4 during last quarter:

We also see several signs that a lower priced iPhone makes sense: 1) iPad Mini is expanding Apple’s customer base with 50% of purchases in China/Brazil representing new customers to the ecosystem. 2) Chinese consumers show a desire to purchase the latest version of iPhone (instead of discounted older generations). 3) iPhone 4 demand surprised to the upside in the December quarter. Even at a low 40% gross margin and 1/3 cannibalization rate, we see an “iPhone Mini” as incremental to revenue and gross profit dollars.