Apple iPhone X Costs $999, Sets Path for Smartphones' Next Decade
September 12 2017 - 3:29PM
Dow Jones News
By Tripp Mickle
CUPERTINO, Calif. -- Apple Inc. on Tuesday unveiled upgraded
versions of its existing iPhones as well as a new smartwatch
capable of connecting to cellular networks for calls, messages and
streaming music.
The iPhone 8 and the larger iPhone 8 Plus boast a new design
with glass on the front and back of the devices, and features
including louder speakers, faster processors, and improved cameras.
It also has new gyroscopes and accelerometers to enable augmented
reality functions.
The Apple Watch Series 3 will have an LTE chip that enables it
to connect to the fastest cellular networks for many of the same
functions the iPhone offers. Its predecessor, the Apple Watch
Series 2, acted more like a remote control for the iPhone, using
Bluetooth and Wi-Fi to fetch email, messages and other data from
the handset.
The Apple Watch will feature new chips and new antenna. Chief
Operating Officer Jeff Williams said it is the same size as its
predecessor.
The new Watch costs $399 with cellular capability, or $329
without. It looks similar to its predecessor, except for a red
accent on a knob on the right side of the device. The Apple Watch
Series 2 will be reduced in price to $249.
AT&T, Sprint, T-Mobile and Verizon will offer cellular Apple
Watch Series 3 devices in the U.S., with availability beginning
Sept. 22.
The announcements came at Apple's annual product showcase, held
for the first time at Steve Jobs Theater on a new $5 billion
campus. The highly-anticipated event is expected to be punctuated
by the release of a new, pricier iPhone -- expected to be dubbed
the iPhone X -- with facial recognition and other more advanced
features than the iPhone 8.
Investors, betting the new phone will rejuvenate Apple's sales
after a recent slump, have pushed Apple's share price to record
highs in recent months. The company also announced Apple TV 4K,
capable of streaming ultra-high definition video to compatible
televisions, bringing the device in line with competing products
from Roku and Amazon.com Inc.
The update to Apple's streaming-media player is the first since
2015 and comes as the device has lost market share to lower-priced
rivals. Apple Vice President Eddy Cue said Apple will sell
ultra-high definition films from Hollywood studios at $19.99, the
same price it currently offers high-definition films. There also
will be live sports in 4K from ESPN and others.
The Apple Watch Series 3 has the potential to extend recent
sales gains by boosting the device's functionality, analysts said.
The cellular capabilities allow people to leave their iPhones
behind and still send and receive emails and messages by using
Siri's transcription abilities. Users with AirPods wireless
headphones could also make and receive calls using just the
watch.
Apple has sold an estimated 30 million Apple Watches since
introducing the device in 2015, according to market research by
IDC. The addition of Global Positioning System (GPS) and waterproof
capabilities introduced with last year's Apple Watch Series 2 has
the company on track to boost sales nearly 25% this year.
Investors have been tracking the Apple Watch's evolution closely
as it has the potential to diversify Apple's revenue, two-thirds of
which comes from iPhone sales. To date, Apple hasn't disclosed
sales of the Watch, which was its first all-new product released
under Chief Executive Tim Cook, and some detractors have said sales
were stymied because the initial version lacked purpose.
Last year, Apple shifted its focus around the Watch to emphasize
its ability to track runs, walks, swims and other fitness
activities. The marketing around the first iteration of the Watch
had focused on the device as a fashion accessory.
Write to Tripp Mickle at Tripp.Mickle@wsj.com
(END) Dow Jones Newswires
September 12, 2017 15:14 ET (19:14 GMT)
Copyright (c) 2017 Dow Jones & Company, Inc.
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