ARM advised Apple to release cheaper iPhone

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cheap-iphone

Apple may be seriously affected due to lack of low-end models in the iPhone smartphones  lineup . This was announced on Wednesday, executive vice president and president of business development and global ARM Holdings Antonio Viana.

According to the company , which uses Apple technology, the electronics giant miss a good opportunity for the expansion of the middle and lower segments of the smartphone market.

Demand shifts more affordable price niches , says the ARM. This trend , according to company executives, sooner or later will force Apple to think about measures to protect themselves from attack by cheap smartphone competitors.

According to a top ARM  manager, the top selling mobile phones up to 2019 will grow no faster than 4% , which significantly limits the possibility of increasing profits for Apple. At the same time, the middle segment of the device will show sales growth of 14% per year, while the cheapest every year will be sold on average 17 % better. In the U.S., expensive smartphones retain popularity, but it is not enough to ensure a comfortable existence of a company like Apple.

Analysts say that the words of Antonio Viana worth considering : ARM Holdings – a company which licenses the production of most processors for gadgets. Its development and use Qualcomm, and Samsung, and she Apple, which builds on the ARM-based technologies own chips .

Viana argues that other partners ARM, in particular Samsung, are much more successful in the lower and middle segments of the market that can provide them with a competitive advantage in the global fight for market share .

ARM itself on Tuesday reported that the IV quarter finished with a loss of $10.1 million was the reason for the increase in operating costs. While revenues grew by 15%.

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