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According to well-respected KGI Securities analyst Ming Chi Kuo, Apple is set to discontinue the first-generation iPhone X when the second-generation model is released this year, rather than keep it around at a lower price than its current $999.
Kuo says that he believes Apple will discontinue the current iPhone X because keeping it around at a lower price could cannibalise sales of the forthcoming 6.1-inch iPhone with Face ID and LCD display that Apple is expected to launch later this year, and which is expected to cost around $650-$750.
Meanwhile, in another note to investors issued by Kuo today, he said that the iPhone X can already be consider a “strategic success” for Apple, because its Face ID and TrueDepth camera technology gave it an advantage over its competitors, placing it approximately 2 years ahead of the rest of the pack. Kuo adds that many of Apple’s rivals will try to come up with similar technology, but Apple is so far ahead that they will struggle to do so.
“We believe the iPhone X has established a long-term edge for Apple,” said Kuo. He added that this year’s Gen 2 iPhone X will more than make up for any “shortfalls” with the Gen 1 iPhone X, with the first phone being a revolutionary step forward for the company.
Sources: KGI: Apple to Discontinue iPhone X Rather Than Sell at Lower Price When Second-Generation Model Launches
iPhone X seen as 'strategic success' for Apple as 3D sensing cameras 2 years ahead of competitors