Apple iPhone 7 rumors: The 4-inch iPhone Mini

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iPhone Mini and iPad Mini

The wave of Apple rumors regarding the iPhone 7 won’t just stopped – they are multiplying and now the latest speculations are that the company is preparing a 4-inch iPhone Mini version of its flagship smartphone.

The new reports suggested Apple is not done with the small screen handsets and it is planning to introduce a “mini” version of the iPhone 6. The tech giant from Cupertino launched two models smartphones and both are bigger than the previous iPhone 5S. It will be a 4-inch device with identical design to the current versions – aluminum casing with rounded angles.

The logic behind iPhone Mini

The rumors started from a Taiwanese site Feng.com and were picked by other media outlets afterwards. A lot of people are not ready to switch from the smaller 4-inch iPhone 5S (or 5C) to the bigger iPhone 6 and 6 Plus. Still some consumers thinks like Steve Jobs – anything beyond 4-inch is not natural and will not fit in seamlessly in the human’s hand.

The idea of a iPhone Mini is supported by some users and analyzers. Forbes posted five arguments for the 4-inch model and why Apple should introduce it in the next year. They are: bigger choice, the natural fit in the hand, better budget options, lack of competition and guaranteed success. They make sense from consumers and partially from market perspective, but also have some drawbacks.

The cons of the smaller smartphone

The first one is that for so many years Apple relies on a small portfolio – few devices in very well chosen categories. This tactic drive skyrocket the revenue and the margins growth. But the ambition to gain more and more market share has its price. The company just needs to decide – to have fewer devices and to try to control certain segments of the markets, or to try to wider the portfolio. The second option is not good for the margins, because if Apple gets into the cheaper segments it can gain market share with smaller margins. The tech giant had already some examples – the iPhone 5C and the iPad Mini. Both devices cut the margins, but wasn’t enough to grab drastically more market share.

There is a competition and a lot of competition in the smaller screen segment. Well they are not flagships anymore, but don’t think that Apple could fit every hardware part from the iPhone 6 and 6 Plus into a smaller device. It will need to make some compromises. We have very good Android and Windows Phone devices in the 4-inch segment for a very affordable price.

Also – where the new device will fit in the Apple’s portfolio? Especially if it is branded as a iPhone 6 Mini. Apple has tradition to lower the prices for the previous models to make them more affordable and it use them as a “budget devices”. This is expected to be done with the iPhone 5S and the iPhone 5C will be washed out.

Still there is a possibility if Apple tries to get back into the 4-inch segment with iPhone Mini. The way to do this is to introduce it with the next models smartphones – plausibly iPhone 7. Or if we see it with some upgraded version of iPhone 6.

But still it is early to give solid credibility for this rumor.

Plausibility – 35%

Image Credit: SirMo76

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