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Apple’s 5G iPhone is here. Read this before rushing to buy one – MarketWatch

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Apple is expected Tuesday to unveil its first line of 5G-enabled iPhones at an event with a tagline of “Hi, Speed.”

Does that mean consumers should get ready to spend high on the devices the smartphone giant is about to reveal?

Hold on, one expert says. The allure of a connection to the high-speed 5G network could be enticing, but there’s more for consumers to consider before buying the newest iPhone, or any other smartphones that can hook up with the network.


‘It really boils down to your patience, your perspective and your desire to have the latest cool thing.’


— Bob O’Donnell, president and chief analyst of TECHnalysis Research

“It really boils down to your patience, your perspective and your desire to have the latest cool thing,” said Bob O’Donnell, president and chief analyst of TECHnalysis Research, a consulting and market research firm.

Those are good questions for consumers to ask themselves in any economy — but especially so at a moment when the coronavirus pandemic has injected so much uncertainty into so many household budgets, and may do so for a long time to come.

So what does the 5G network get you?

Faster speeds and a more responsive network, experts note. But that also depends right now on factors like where you live and which carrier you use, they add.

This is because the 5G network consists of three different bands: the low, middle and high bands, according to Dan Hays, Technology, Media, and Telecommunications Corporate Strategy Leader at PwC, the consulting and auditing firm.


‘For the end user, particularly today, the experience on 5G is driven more by the mobile network operator that you subscribe to than it is by the 5G technology itself.’


— Dan Hays, Technology, Media, and Telecommunications Corporate Strategy Leader at PwC

“For the end user, particularly today, the experience on 5G is driven more by the mobile network operator that you subscribe to than it is by the 5G technology itself,” said Hays, who didn’t comment specifically on certain companies or brands.

Verizon
VZ,
+0.37%

 , AT&T
T,
-0.67%

  and T-Mobile
TMUS,
+2.42%

  have differing amounts of reach for each of the three bands, or “flavors,” as O’Donnell describes them.

The highest band can provide service that’s 50 times faster than the current 4G network, O’Donnell said — but geographic coverage, currently, is very limited. The mid-band spectrum is between 10 and 15 times faster, while the low band is up to two times faster, O’Donnell said.


A year from now, ‘the exact same phone will have better service because the networks have improved in the meantime. The question is, how patient are you?’


— Bob O’Donnell, president and chief analyst of TECHnalysis Research

The network’s capacity is “constantly evolving,” he added. A year from now, “the exact same phone will have better service because the networks have improved in the meantime. The question is, how patient are you?”

“Since announcing that AT&T 5G is available nationwide, our teams have been working on densifying our 5G coverage, which will continue to improve the overall performance of our 5G service,” said Shannon Settle, assistant vice president, access construction & engineering at AT&T Communications.

(Verizon and T-Mobile didn’t immediately respond to a request for comment.)

Faster 5G speeds mean what exactly?

It will enable new apps and services, said Hays. He’s watching for the rise of more “cloud gaming” which allows for realistic, high-definition games with other users. Hays is also on the lookout for augmented reality apps. “Today, it’s difficult to implement augmented reality on a smartphone, because the network needs to be very responsive,” he said.

See also:Roblox, a popular videogame platform for kids, plans an IPO

And that’s just the technological developments experts can anticipate. “There are going to be things we can’t even think of,” O’Donnell said.

So is a 5G worth it now?

If analyst expectations prove true, Apple
AAPL,
+6.35%

  will be unveiling 5G-enabled phones — but these won’t be the first phones operating on the 5G network. Samsung, Google
GOOG,
+3.55%

 and LG are some of the companies already offering 5G-enabled smartphones.

The Samsung line of 5G-enabled smartphones start with a Galaxy A51 5G, which has a $399.99 starting price, a spokesman noted. The Google Pixel 4a with 5G capacity is priced at $499. The LG Velvet for T-Mobile customers has a $588 price.

Apple, Google
GOOGL,
+3.58%

 and LG didn’t respond to requests for comment.


Many consumers typically upgrade to a new phone after three years with their current phone.

“We expect that 5G will become a standard feature in most new smartphone over the next one to two years,” Hays said. But most consumers typically hold onto their phones for three years before upgrading, he noted.

And even before the pandemic shifted people’s financial priorities, many consumers didn’t appear to be ready to shell out for faster speeds, PwC research suggested.

In the firm’s own research on consumer attitudes, more than two-thirds of mobile users in 2018 and 2019 were unwilling to pay more for 5G-enabled phones, Hays said.

If a consumer is due for a new phone anyway right now, O’Donnell said there’s a stronger case for them to go with something that’s able to hook up to the 5G network.

But if someone is sitting on a relatively new phone already, he said it could make more sense to just wait a bit as the networks expand. “You can make an argument either way,” O’Donnell said.

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AAPL: AAPL and the Rollout of the iPhone 12 and 5G – StockNews.com

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AAPL: AAPL and the Rollout of the iPhone 12 and 5G


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NASDAQ: AAPL | Apple Inc. News, Ratings, and Charts

AAPL – We should ask not what 5G can do for Apple (AAPL), but what Apple can do for the rollout of 5G.

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In his inauguration speech on January 20, 1961, President John F. Kennedy famously encouraged Americans to: “Ask not what your country can do for you—ask what you can do for your country.”

Apple (AAPL)

I’m paraphrasing JFK’s line to explain to you the right way to look at the Wall Street buzz surrounding Apple (AAPL) and 5G: while Wall Street is giving fanciful numbers on what 5G will do for sales of the iPhone from AAPL, I think we should ask not what 5G can do for Apple, but what Apple can do for the rollout of 5G.

The reality is that 5G infrastructure here in the U.S. is woefully behind many Asian countries, including China. The mobile telecoms industry group, GSMA, predicts that a third of the world’s population will be able to access 5G by 2025.

It is still a question, though, whether all United States mobile phone users will be among those numbers.

To coincide with the launch of the newest iPhones, Verizon CEO Hans Vestberg announced the company would initiate its 5G network in the U.S. on Tuesday, following rivals T-Mobile last December and AT&T over the summer.

However, Gene Munster at Loup Ventures estimated that Verizon’s advertised download speeds–up to four gigabits per second in ideal circumstances–would only be available to a mere 1% of the U.S. population at launch. Munster also projects that at best, that number may hit 25% in a year or two.

5G Tipping Point

I believe Marc Allera, CEO of BT Consumer, got it right when he called the iPhone 12 launch “…a tipping point for 5G.”

The lack of availability is why there has been such slow consumer adoption of 5G over the past 18 months. And that is even though telecoms carriers claim that 5G can offer download speeds up to 20 times faster than existing 4G networks.

Analysts at two research firms—Canalys and IDC—estimate that just 13% of smartphones shipped globally in the first half of 2020 were 5G-capable.

To wake up this sleepy market, analysts and corporations alike hope Apple’s marketing power and loyal customer base will light a fire under 5G sales. In other words, telecom executives are hoping the past is prologue. Apple has had a very strong record in promoting growth in technology categories, including touchscreen phones, smartwatches, and the app market.

According to the aforementioned GSMA, telecoms operators are expected to spend 80% of their mobile capital expenditure, or nearly $890 billion, on 5G networks in the next five years.

That will drive 1.8 billion 5G connections by 2025. Or will it?

Most telecoms executives are still looking for a “killer app” that will transform the way consumers use their smartphones. Even the launch of the iPhone 12 has yet to change that reality.

The problems, though, go deeper than the lack of a killer app.

One problem is politics. The launch of 5G networks globally has coincided with increased pressure from the Trump Administration on governments around the world to ban Huawei, the world’s largest telecoms equipment supplier. This has stalled progress in not only the United States, but many other developed markets. 

Another problem is gripes from shareholders. A huge amount of money is needed to build out 5G. A collapse in the share prices of some of the largest companies in the industry has put pressure on telecoms companies to justify the massive outlay of capital.

And of course, there has been a lack of good 5G phones. That should change now with the iPhone 12 launch.

At the launch of its newest handheld devices, Apple did try its best to play up how cool 5G will be. For example, one selling point touted by Apple was the iPhone 12 Pro’s ability to shoot, edit, watch and share high-quality video footage using the new Dolby Vision HDR format. The company illustrated this feature with footage of professional filmmakers shooting beautiful wild horses in a desert environment. Of course, Apple neglected to mention that most deserts are far from the densely populated urban areas where telecoms companies will first deploy their 5G networks.

So although in countries like China, 5G is happening now, in most developed western countries the 5G cycle is probably two years away at best.

History can be a guide here: telecoms firms tend to over-promise in the short-term, but vastly underestimate the impact of new technology over the long term. Once again, Apple will lead the way in the telecom innovation cycle. And it will end up doing a lot more for the telecoms industry than the inverse—but just not right away.

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AAPL shares rose $0.03 (+0.03%) in after-hours trading Wednesday. Year-to-date, AAPL has gained 60.08%, versus a 8.01% rise in the benchmark S&P 500 index during the same period.

About the Author: Tony Daltorio

Tony is a seasoned veteran of nearly all aspects of investing. From running his own advisory services to developing education materials to working with investors directly to help them achieve their long-term financial goals. More…

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French iPhone 12 comes in two boxes to accommodate EarPods – comments – GSMArena.com

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B

  • BioTrollInfinite
  • 0xU
  • 7 seconds ago

BAHAHAHAHAHAHAAHA, carbon emission, yeah right. My farts are more carbon emission friendly by me eating less jalapenos than what crApple is doing.

J282114

So much for being environment-friendly.

R470144

anotherphone, 19 minutes agoI hope european union will do something about this before all other companies follow this stup… moreThe way Apple did it with excuse they are saving the environment is just lame. The way they should approach this would be when buying new iPhone you could pick between regular price that includes the charger (even if it comes separately in a little basic cardboard box made out of 100% recycled cardboard) or if you opt for a phone without the charger, you’d only get the cable and a 20€ discount on the phone. Same for EarPods or whatever. Regular price with or 15€ off without. Right now it just feels like they removed all the extras and still sell you the main device at same price as before with the feel good story of saving the environment. While I don’t hate Lightning standard, just use the damn USB-C. Everyone is using it, even Apple itself is using it on laptops and tablets, that would actually help the environment. I liked the iPhone 12 presentation, but I rolled my eyes really hard when they tried selling me this BS about saving environment while charging me even more for the vanilla iPhone. What sucks even more is that everyone will follow this because it’s clearly there to maximize profits and it sucks for us consumers.

1361320

Nice law but they should have enforced a 3.5mm Jack or direct equivalent (like a magnetic connector variant) except in case of it being not possible (like the phone being legit too thin), and a mandatory USB-C compatibility for charging and data with at least an adapter provided.
A nice law would be to force every brands to have at least one phone without hole, notch and other stupid cut-out of the display per generation, because in what twisted version of the reality are we that almost every phones have HOLES IN THE DISPLAY, I swear if someone wake from coma from few years ago, he will think we all got completely crazy for this, this need to stop.

a171

I hope european union will do something about this before all other companies follow this stupid trend.

s

  • sq2013
  • smN
  • 24 minutes ago

joe nodden, 33 minutes agoYeah I am being generous to a lot of companies. Not Apple though. As much as I absolutely desp… moreTrue but I owned one of their phones and it wasn’t that bad. Power 6s it was called or something and it was decent. I paid like 150 euros and I could see the shortcuts involved but I can accept that. With apple, people are paying a grand for the phone and they don’t have the decency to throw in a few accessories for free. I think that they’re just the worst by far.

s

  • sq2013
  • smN
  • 28 minutes ago

Anonymous, 1 hour agoPeople please stfupp everyone has a charger and airpod or Bluetooth earphones so stop whining geezSo you just give them a free pass then? You don’t mind them taking you for a mug and bleeding every last cent they can out of you? People like you with your complete indifference are the problem. I don’t have an iPhone. I don’t have an apple charging brick. It’s not so much the financial side of it. It’s them basics saying that you’re paying for everything. We’ll do nothing extra for you. Next thing they’ll be charging for the box or something stupid. They’re trying to turn accessories that in the past were just a freebie that everyone expected aa standard and turning these accessories into a new product range that they can exploit consumers on. It’s not about the cost of the items they omit. It’s the contempt they are showing for the customer by doing so. And they then have the absolute cheek to try and say that it’s for the good of the environment. This coming from a company that’s using children to plunder natural mineral resources some of which are finite to build their stupid phones.

1749234

sq2013, 40 minutes agoSecond to worst? Who’s the worst? I think that you’re being generous. They’re w… moreYeah I am being generous to a lot of companies. Not Apple though. As much as I absolutely despise them, there is a worse company or two. (Or several, that’s why I said I’m being generous) Companies like Ulefone use cheaper parts that don’t pass quality inspections while not letting their customers know about it. So when the phone randomly dies due to a failing part, it was completely Ulefone’s fault. At least Apple doesn’t have phones that randomly fail a lot of the time.

R6010

By the trends we saw so far, Android phones will most likely stop including chargers as well a year or so from now, so i definitely won’t be buying phones anymore if it comes to that, plain and simple.

?

  • Anonymous
  • smN
  • 38 minutes ago

sq2013, 40 minutes agoSecond to worst? Who’s the worst? I think that you’re being generous. They’re w… moreThis kind of skimping on accessories to save a drop in the ocean for them and to try and disguise this as being concerned for the environment is pathetic.

s

  • sq2013
  • smN
  • 40 minutes ago

joe nodden, 1 hour agoAh yes Apple being environmentally friendly by including twice the packaging for a tiny pair o… moreSecond to worst? Who’s the worst? I think that you’re being generous. They’re worth two trillion because they are the most greedy and miserly company ever. However great their product is, any sane individual wouldn’t actually buy their wares purely on principle. This kin

?

  • Anonymous
  • nfy
  • 56 minutes ago

Anonymous, 59 minutes agoIf Apple really cared about the environment they’d cut it out with their successor to the… moreDon’t forget about all the recycled iPhones which could be re-used if Apple didn’t lock / brick them for “”security”” reasons…

?

  • Anonymous
  • 4DI
  • 59 minutes ago

If Apple really cared about the environment they’d cut it out with their successor to the throttling, which is a special chip called Tristar that breaks down every time you use another charger that wasn’t in the box. You can kill the phone for just using even a good, high quality charger. Suck a fat nut, Apple.

1749234

Ah yes Apple being environmentally friendly by including twice the packaging for a tiny pair of earbuds. Great move Apple. Second to worst company in history.

S1371465

Berserker89, 1 hour agoOmg this is becoming ridiculous.😂😂😂😂
My p30 pro for example has a case, fast 40wcharger, earp… more
Let’s see if Huawei doesn’t follow them next year 🙂 your phone is from 2019.

B15157

Omg this is becoming ridiculous.😂😂😂😂
My p30 pro for example has a case, fast 40wcharger, earphones, adapter, data cable, all on one box.
And still apple is selling every possible accessory separately. what a gear idea for saving the environment.

?

  • Anonymous
  • nCY
  • 1 hour ago

People please stfupp everyone has a charger and airpod or Bluetooth earphones so stop whining geez

?

  • Anonymous
  • 3PI
  • 1 hour ago

Iphone12 – 19$ for charger – 19$ for earpods = iPhone 11 price?!?
Do you have a ruptured cable from your old iPhone? Don’t worry you’ll buy a new one!
Environment or full pockets?

R9428

This is so great for the environment. Good job Apple. Thanks for nothing.

P23455

Good job apple, now you have to make two boxes instead of one to follow French law… What a dump move… Carbon what?

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French iPhone 12 comes in two boxes to accommodate EarPods – GSMArena.com news – GSMArena.com

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In 2020 Apple took a stand against unnecessary carbon emissions (and spending money on accessory production) and took away the charger and earbuds from the iPhone 12 and 12 Pro retail package, as well as from that of the iPhone 11, SE (2020) and XR. But France requires manufacturers to ship headphones with phones by law, so Apple had to accommodate the EarPods with its iPhones.

But because Apple’s new smaller iPhone retail box is standard across the globe, it packed it inside a bigger box that contains the EarPods. Note that Apple still doesn’t include a charger, just the earbuds.


Big box holds EarPods and new standard small iPhone box

Apple advises its customers to use existing chargers and EarPods, but also sells a new $19/€25 20W wired charger and $39/€45 wireless MagSafe charger and has deducted $10 from the price of EarPods – now $19/€19.

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