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UBS: the iPhone 8 will not exceed $ 1,000

Users look forward to the anniversary of the presentation of the iPhone in autumn this year, but few people are tempted by the hypothetical price tag of new items. Many rumors trying to convince that iPhone 8 OLED display would cost over $1000. UBS analysts believe that Apple will not set such a high price tag. The cost of the jubilee will indeed grow, but the company needs to remain competitive in the market.

According to estimates by UBS, the cost of the new iPhone will be $70-90 is higher than the iPhone 7 Plus, while the retail price of the basic version of the smartphone will be around $850-900. This is comparable to the price tag of Samsung Galaxy S8+, which also starts from $840-$850. It is most likely that the iPhone 8 will be sold for $870.

“We believe that the price of $870 will increase earnings per share, but will reduce the gross margin of Apple,” says UBS. New Galaxy S8 costs $750, while the Galaxy S8+ — $850. For lovers of Apple technology $850 is quite reasonable price, especially with your innovative new features of the product.

As for the more expensive version of the iPhone 8 with 256 GB of memory, its price also will not go beyond $1000 and stops at the level of $950-$1000. Although this device still could be the first smartphone (not luxury level) in the U.S. market with a four-digit price tag.

Although Apple rarely evaluates its products significantly above the nearest competitor, it is expected that the display of the iPhone 8 will be smaller than the Galaxy S8.

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“Top-end smartphone from Apple will give in terms of display size Samsung Galaxy S8, – said analyst Steven Milunovic. We still think that Apple will evaluate its flagship at about the same price as the Samsung, but we’re not sure how the company will be ready to reduce the price due to the more compact screen.”

On the other hand, it is expected that the iPhone 8 will get few unique functions that can not boast of any one smartphone Samsung, in particular 3D camera and a built-in display fingerprint scanner. This will help Apple to explain the difference in price, however a price tag of $1000 should be expected.

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