Apple cancels 20th anniversary all-glass iPhone plans
Supply chain issues and soaring costs lead to scrapping of revolutionary design project.
120th anniversary edition scrapped
Apple has reportedly canceled plans for a special 20th-anniversary iPhone model. Jefferies analyst Edison Lee revealed the 'quad-curved' display phone was shelved due to supply chain constraints and rising memory costs. The device was rumored to feature 'nearly invisible bezels' and incorporate Apple's Liquid Glass technology in hardware form, potentially setting a new design standard in the smartphone industry.
2Cost-benefit imbalance
The analyst report indicates the 'all-glass' features faced production yield challenges, making the project economically unviable. With projected low ROI, Apple pulled the plug, dealing a blow to its premium pricing strategy. The company's stock dropped over 2% following Lee's 'Underperform' rating. This decision marks a significant shift from Apple's tradition of milestone celebrations with groundbreaking hardware.
3Design revolution postponed
The canceled model was poised to revolutionize smartphone design with its 'natural and undisturbed edge viewing' technology. Apple aimed to replicate the impact of 2017's iPhone X, which introduced Face ID to the mainstream. Industry watchers saw this as Apple's response to competitors' foldable innovations, now leaving the field open for Samsung and Huawei to lead design innovation.
4Supply chain bottlenecks
Persistent global semiconductor shortages and a 30% surge in memory chip prices fundamentally altered Apple's cost calculations. High-quality glass production yield issues compounded the challenges. This mirrors Apple's 2023 decision to delay certain MacBook launches due to similar supply chain constraints. The company appears to be prioritizing production stability over ambitious design leaps.
5Foldable iPhone takes center stage
With the anniversary model canceled, attention shifts to Apple's rumored foldable iPhone Ultra expected in September 2024. This device becomes crucial for competing in the rapidly growing foldable market, projected to reach $30 billion by 2025. The move suggests Apple sees foldables as its next major form factor innovation rather than pushing traditional smartphone design boundaries.
6Investor reaction
Jefferies' 'Sell' rating sent shockwaves through investor circles. Analyst Lee stated, 'This calls into question Apple's innovation capacity in the premium segment.' Shares fell from $185 to $181, erasing nearly $60 billion in market cap. The downgrade reflects growing concerns about Apple's ability to maintain its industry-leading profit margins amid rising component costs.
7Industry implications
The decision reverberated across the smartphone sector, potentially giving rivals like Samsung and Huawei more room to dominate high-end innovation. With Apple stepping back from radical design changes, competitors may accelerate their foldable and flexible display roadmaps. Analysts warn that unmet consumer expectations for groundbreaking designs could slow overall market growth, particularly in the $1,000+ premium segment.
8Apple's revised roadmap
The company now appears focused on the iPhone 18 series and foldable iPhone Ultra. 20th-anniversary celebrations may shift to software updates and special services. Resources could be reallocated to AR glasses and electric vehicle projects. This pivot suggests Apple is entering a new phase where sustaining innovation takes precedence over disruptive hardware breakthroughs in its core product line.
Original article: Macworld — Apple'ın 20. yıl özel iPhone'u iptal oldu