On Tuesday, September 12, Apple launched is new line of products: the Apple Watch, Apple TV, iPhone 8 and iPhone 8 Plus. However, the product that stole the show was the new generation iPhone – the iPhone X.
Tim Cook framed the device as being nothing short of “the future of the smartphone.”
“The first iPhone revolutionized a decade of technology and changed the world in the process,” Cook said on stage. “Now, ten years later, it is only fitting that we are here in this place on this day to reveal a product that will set the path for technology for the next decade.”
With this smartphone, Apple is literally going all in. Packed with a plethora of features like higher resolution, better cameras, an all-glass front and back, facial recognition technology and the rather hyped FaceID that unlocks the phone.
“FaceID learns your face, even if you change your hairstyle, if you put on glasses, you’re wearing a hat. FaceID learns who you are,” Phil Schiller, Apple’s head of marketing, explained in the event on Tuesday. The FaceID technology recognizes a user’s face by mapping 30,000 invisible points. This is a feature that Apple is very proud to have incorporated.
Apple, which has a valuation of $835 billion, is banking heavily on iPhone X, its premium smartphone.
“The blessing and the curse of the iPhone is it’s a really high price point,” said Jeff Reeves, executive editor of InvestorPlace. Making up the same amount of profit elsewhere requires “a heck of a lot more Apple Watches or Apple TVs,” he said.
The company, however, has a very low market share of 10% in China.
“What they do in America is rely heavily on their brand and being premium. It’s not necessarily a path to growth in China. There better be some other trick up their sleeve,” Reeves added.
If all goes well with the sales for iPhone X, Apple could soon become the first company in the world to receive a $1 trillion valuation. The most important influencing factor here is the fact that the iPhone alone accounts for about 66.67% of Apple’s revenue. So, yes, a $1000 might make it worth it.