iPhone X will sell 'enormous volumes' and could kickstart new era of AR - IHS Markit

Katharine  Byrne
iPhone X

Apple announced three new iPhone handsets last night – the iPhone 8, iPhone 8 Plus and the premium iPhone X – and analysts have said they could mark the start of a new era for augmented reality businesses. 

"The new iPhones will benefit from the numerous improvements in iOS11," said IHS Markit's Ian Fogg, senior director for mobile and telecom.

"The tiny bezels of iPhone X will make AR apps more immersive than on other smartphones. The new cameras draw less power, which will help AR apps run for longer than they will on iPhone 7 models.

"And, because of the tight integration of software and hardware, AR developers will know their AR experiences will run smoothly on all supported iOS devices. Apple will gain a significant time advantage over Google and Android-based OEMs where there are numerous camera designs in use, and AR support will take much longer to roll out across the Android installed base because the sluggishness of Android OEM software update cycles.

"As a result, Apple will have a long window to use AR experiences to market iPhone hardware and drive additional sales before Android catches up in late 2018."

Fogg isn't fazed by the iPhone X's premium price of £999, either, saying the phone will "still sell in enormous volumes because Apple has repeatedly demonstrated its ability to persuade consumers to shift their overall spending to place a greater share of their disposable income towards a smartphone purchase."

He continues: "IHS Markit expects demand will exceed supply for these new iPhone models because they represent the biggest step forward in iPhone design since the iPhone’s debut. iPhone X will set Apple up for exceptional iPhone performance in 2018 and into the iPhone’s second decade. And, just as with the original iPhone, every other smartphone maker will aim to copy and improve on Apple’s iPhone X design. In this, it is the true successor to the first iPhone."

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Tags: augmented reality , comment , iPhone X

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