Apple Inc. (NASDAQ: AAPL) sells very expensive products. Despite the fact that the company’s PCs, tablets and smartphones carry price tags well above those of most competitors, the company still commands the market with incredible strength. That’s why Apple thinks it can ask consumers to pay even more for the iPhone 7, or the iPhone 6s, depending on what comes first.
Apple is apparently planning on testing the upper price limits for their next iPhone release, but for very specific reasons. Here’s a look at which specs are going to drive up the average price of the iPhone 7 or iPhone 6s. Apple CEO Tim Cook will set the prices but it’s up to customers to decide whether or not they will pay for them.
Apple iPhone 7, iPhone 6s specs
It’s important to note that rumors suggest that the base models of the iPhone 7 or iPhone 6s will retain their pricing from the previous generation. It’s the options that Apple intends to offer that will increase the Average Selling Price for the iPhone. Last year Apple managed to boost that number significantly by adding the iPhone 6 Plus to its line up.
The bigger, more expensive, iPhone will be replicated this year in either an iPhone 7 Plus or an iPhone 6s Plus. Apple may also increase the average price by boosting available memory. The iPhone 6 was available with a maximum of 128 GB of memory. The iPhone 7 or iPhone 6s may come with a maximum of 256 GB.
Expect, of course, that the additional memory will be expensive. Apple usually charges $100 for each memory upgrade.
Apple may also include some customization in order to increase the average selling price of the iPhone 6s or iPhone 7. In the last week, rumors of a gold iPhone, mirroring the Apple Watch, have swirled.
A gold iPhone 7 would cost $10,000 or more, but there may be many intermediate steps that Apple could take in order to convince its customers to spend a little bit more on their smartphone. Customization with the Apple Watch has apparently been extremely successful.
With the iPhone 7 or iPhone 6s, it may be just as successful with a more significant revenue boost for the Cupertino company.
iPhone 7 release date
It’s not yet clear if the next iPhone release is going to be a major version of the smartphone, or simply an iterative upgrade. If there are major new features, the device is likely to be called the iPhone 7, while an iPhone 6s will arrive if Apple decides to leave the major upgrade until next year.
The iPhone 7 probably won’t arrive until October as specs like the Force Touch taptic engine will drive the production of the device back. The iPhone 6s, however, is likely to be released around the same time as the iPhone 6 appeared last year. That means that users should expect the device to arrive in September 2015.
Regardless of which devices arrive this year, it’s likely that the specs of the iPhone 7 or iPhone 6s will allow some increase in average selling price, a good sign for investors.