by Matt Margolis
I’m a big believer that signs are everywhere if you just take notice. The latest flurry of merchant price cuts for Apple’s current flagship phone the 5s is a sign that Apple’s iPhone 6 launch is just around the corner.
2013 iPhone 5 Price Cuts (Begin June 22nd followed by a September 21st iPhone 5s Launch)
Last year iPhone carriers and distributors including, AT&T, Walmart and Virgin Mobile began slashing prices of the iPhone 5 on June 22. Walmart cut their price to $129, Virgin Mobile $99 and AT&T for $99.99. These companies typically slash the price of Apple’s latest and greatest iPhone to help liquidate their inventory ahead of Apple’s next generation iPhone release. The Iphone 5s was launched 3 months after Walmart and others starting slashing their prices.
2014 iPhone 5s Price Cuts begin March & April followed by a June iPhone 6 Launch?
On March 5, 2014, Walmart became the first retailer to cut the cost of the iPhone 5s to $129. Also in March, Bestbuy knocked down the price they sell the iPhone 5s to $149. On April 18th, RadioShack announced that they would be selling the iPhone 5s for just $99 with a 2 year contract.
Price cutting of Apple’s previous flagship phone just months ahead of the next generation iPhone release is not something new. The recent iPhone 5s price slashing may be another sign that clearly indicates the iPhone 6 is set to arrive in June. In my previous review I examined the production ramp across Apple’s supply chain and my conclusion was that the production ramps were 2 to 3 months ahead of 2013 production ramps. In 2013, Apple launched the iPhone 5s/5c in September but my review of the supply chain indicated that a June 2014 iPhone 6 launch appeared likely.
My check of the of iPhone merchant price cut activity also clearly indicate that the iPhone 6 is likely to launch in June 2014, nearly 3 months earlier than most analyst estimates. My eyes are being drawn closer to Apple’s WWDC 2014 even being held in San Francisco on June 2nd, which may just include the introduction of Apple’s upcoming iPhone 6 alongside the iWatch.