The newest mobile phone from Apple is said to have a much larger screen, however experts say that this will increase the price of the phone.
Chris Caso of Susquehanna Financial Group believes that the new features that Apple has promised for the mobile phone, dubbed the ‘iPhone 6’, will drive the cost of production up.
Higher production costs mean lower profit margins for Apple, unless it is willing to increase the retail price.
Some think that the cost of the new model could be as much as $100 US ($109 Aus) more than the current models of iPhone.
Mr Caso believes that “such a move could avoid the margin erosion that occurred when the iPhone 5 was launched”.
In the past, Apple has made a point of releasing its newer phones at the same launch price as its older models.
To increase the price by this much would be a significant departure from Apple’s normal tactics.
Posted by Peter Robinson