The tenth anniversary edition iPhone, the iPhone X (pronounced iPhone 10), will be released on November 3, with pre-orders beginning on Friday, October 27. The X will cost significantly more than the current average selling price of an iPhone – nearly $400 more. While the average iPhone sells for $605, the new X will cost $999 for a 64 GB phone (CNN).
The iPhone X comes in a variety of different features, including face recognition. Simply by holding the phone up to their face and looking into the camera, users will be able to unlock their phones via the Face ID. It also has an edge-to-edge OLED display. Perhaps the most different feature from previous iPhones is the lack of a home button. Instead, users will swipe up from the bottom to reach the home screen (LA Times).
Even with the new features, many consumers may wonder why the iPhone X is so pricey compared to other models’ price when they were first released.
According to Loizos Hercleous, a professor at Warwick Business School, one reason for the heightened price is that Apple is “targeting the higher end of the market rather than just aiming for a larger base of users.” In other words, having a newer, pricier model allows Apple to target the wealthy consumers, having already established a range of prices and models beginning at $350. With the new iPhone X, Apple can cater to consumers of varying socio-economic status (LA Times).
Jefferson Wang, a senior partner at IBB Consulting, cites another reason for the higher price on the iPhone X – material shortages. The materials used to create the OLED screens are scarce, so the increased price can help suppress demand for the time being (LA Times). Once the supply of OLED screen materials ramps up and Apple has enough to meet a higher demand, consumers could see a significant drop in the price of the iPhone X (Vice News).
Across campus, students have had mixed reactions to the details released about the iPhone X.
“I think [the iPhone X] is too expensive. Also, if it doesn’t have a headphone jack, I refuse to buy it,” junior Danielle Saranchak said.
For consumers who do not want to spend the $999 on the iPhone X, the iPhone 8 and iPhone 8 Plus will be available for pre-order on Friday, September 15 with a starting price of $699 (LA Times).