5.5-inch iPhone 6 could cost $800 based on new projections

BY Evan Selleck

Published 13 Aug 2014

image iPhone 6 numbers

On September 9, Apple is going to unveil the iPhone 6. There’s a good chance that it will be a 4.7- and 5.5-inch iPhone 6, with the latter oft-rumored to be called the iPhone Air. Pricing has been off the table, so to speak, up until now.

Horace Dediu (@asymco), a well known and highly respected mobile industry presence, has stipulated his expectations for September 9 when it comes to pricing. The chart is pretty straightforward, even if it does have some surprises on there, including not just two new devices with the iPhone 6 name, but three:

image Dediu tweet

As Dediu points out in a later tweet, the “iPhone 6C” is what he believes will be the “iPhone 5s in a new case. The name is arbitrary choice.” The real takeaway from the graph, though, is the high point that the “iPhone 6P” brings to the table. Dediu believes that the iPhone phablet, or 5.5-inch iPhone 6/Air, will sell for $800 when it launches later this year. That’s quite the difference from previous models of the iPhone, but Dediu doesn’t believe it will affect the overall average sales price (ASP) within the iPhone range:

It’s easy to consider that such a high price point for the 5.5-inch iPhone 6 could change things in a big way, but Dediu does not believe that will be the case. The reasoning consists entirely with the consumers: as people buy the larger, more expensive 5.5-inch iPhone 6/Air, more consumers will go out to buy one of the cheaper variants.

That $800 price tag would be the price for the base model, and would only climb from there. If Apple follows the pattern they’ve established over the years, then it would be reasonable to think that the price would jump up $100 per increase of the built-in storage options. With rumors suggesting the 5.5-inch iPhone 6 could see an option for 128GB of storage, that price tag could be quite high off contract.

It’s no secret that people are willing to pay the extra money for the extra storage, though. A 64GB iPhone 5s will run a customer $849.00 without a contract, for instance. It will be interesting to see if that trend continues with the 5.5-inch iPhone 6. More interesting, though, will be how much the pricing varies between the 4.7- and 5.5-inch iPhone 6 variants.

With rumors that the 5.5-inch iPhone 6 could boast other exclusive features, like sapphire glass or optical image stabilization, the price difference could certainly be justified by many customers.

Would you be willing to pay $150 more, right from the start, to get a device with a 5.5-inch display, rather than a 4.7-inch screen?

[via BGR; @asymco]