During its biggest product launch of the year on Wednesday, Apple Inc. avoided raising the prices of its most popular iPhone models by focusing on safety enhancements rather than glitzy new technical features, with the exception of a new watch designed with adventure in mind.
In order to make its products more appealing, the iPhone manufacturer turned to safety features like the capability to spot a road accident and call for help from a faraway hilltop. With a safety net, Apple positioned itself as the brand that would enable users to pursue thrill and adventure.
According to Ben Bajarin, head of consumer technologies at Creative Strategies, such intangible aspects “are the things that make you not just want the products for yourself, but also for loved ones.” In the end, the value proposition for the increased emphasis on safety—safety as a service—is really intriguing.
Only the iPhone Pro lineup received an upgrade to a brand-new processing core, while the iPhone lineup that accounts for half of Apple’s sales received improvements to cameras and battery life.
The premium iPhone 14s is priced the same as the iPhone 13 models from the previous year. However, Apple no longer offers the iPhone Mini, making its entry-level model $100 more expensive than it was the year before.
Starting on September 9, preorders for the iPhone 14 will be accepted, with the price of the iPhone 14 Plus starting at $899. The iPhone Pro and iPhone Pro Max will both cost $999 and be available on September 16 for purchase.
Despite inflationary pressure, “they elected to effectively maintain pricing,” said D.A. Davidson analyst Tom Forte.
In addition, price increases have been postponed by T-Mobile and Nintendo.
According to Apple, emergency responders will be able to use the satellite SOS capability. Users will be able to share their location through satellite using the FindMy app when there is no other connectivity, the company added.
With the iPhone 14, the service will be free for two years. What would occur following that period was left unclear by Apple.
After Globalstar Inc. revealed it would be the satellite operator for Apple’s emergency SOS service, the company’s shares increased 20% on Wednesday.
A new Watch Ultra model targeted at extreme sports and diving was also unveiled by the Cupertino, California-based corporation. It was created to compete with other sportswatch experts like Garmin and Polar.
Runar Bjorhovde, an analyst at Canalys, stated that “Apple is competing for a market sector that already has significant loyalty towards its existing products and vendors, and it will need to prove itself over time.”
The $799 Ultra watch offers superior waterproofing, temperature resistance, and GPS tracking for sports, as well as a larger battery to endure during events like triathlons.
The new iPhones and all watches, including the upgraded, less expensive SE model and the Series 8 with the same price as last year, will be able to recognise when a user has been in a serious auto accident and call emergency personnel.
A temperature sensor on the new Series 8 watch can identify ovulation in the past. The business emphasised the cycle tracking system’s privacy-friendly design. In the wake of a U.S. Supreme Court decision that abolished a constitutional right to abortion in the United States, digital companies have turned their attention to privacy and data related to reproductive health.
Although accessories like the Apple Watch have increased sales from Apple’s current customer base, the iPhone continues to be the company’s most important product category, accounting for 52.4% of sales in its most recent fiscal year. This has investors wondering what, if anything, will be the company’s next big product category.
Analysts anticipate that category to include a mixed reality headset, which might hit the market as early as next year, but on Wednesday, Apple made no references to such potential items.
Apple’s shares increased 0.9% at the closing, below the 1.8% session gain of the S&P 500.
