Apple plays to the middle market with colourful iPhones

A play-safe appeal to Apple fans with a traditional, higher-specification upgrade.

Seasoned Apple watchers will have successfully predicted nearly all the hardware in the two new iPhones that have just been unveiled by CEO Tim Cook in a hotly anticipated presentation. But while one model conforms to the tried-and-tested tech upgrade trajectory we have seen in recent years, the other is a bit more of a mould-breaker – not least because it’s made largely out of plastic.

Sticking to the familiar two-year lifecycle in iPhone designs, Apple has upgraded the iPhone 5 to the 5S. This comes with a few hardware tweaks – most notably a significantly increased performance thanks to the newly developed A7 processor which is as powerful as that found in a desktop computer. It has tapped into the burgeoning market for health and fitness add-ons by including a distinct M7 chip, designed to efficiently (continuously) measure motion data. Until now, this had been a big drain on battery life.

The tradition of Apple bringing what were once expensive professional level features to the consumer market continues. Following on from face and voice recognition in iPhoto and Siri, we now have the introduction of a fingerprint reader on the phone. This combines high security with ease by allowing the phone to be unlocked with a single touch from the right person’s finger. Whether this is just a fad will be for the market to decide.

Security is at the forefront of many minds these days when it comes to technology purchases. Apple made no promises about stopping government security agencies from reading all your tweets and emails, but it has promised that fingerprints will not be stored on its databases, which should allay concerns about the NSA getting its hands on even more personal information about you.

The 5S also has a better camera lens, and flash and camera software are combined to offer better pictures, slo-mo video and better low light pictures. For a touch of glamour, you can get your 5S in gold as well as the traditional white and black.

But the foray into colour doesn’t end there. The iPhone 5C, announced alongside the 5S can be yours in green, yellow, blue, white or pink, if you’re willing to overlook the slightly odd Connect Four-style cutouts on the back of the case.

The iPhone 5C is significantly different. Some of the prestige hardware has been replaced with polycarbonate to cut costs so Apple can sell a 16GB version for $99 (although you’ll be locked into a two-year contract). Apple’s previous strategy entailed selling last year’s model at a cheaper price in order to maintain demand for the newer product. Whether there is a big enough differentiation between the 5C and the high-end product is difficult to predict, but the price tag suggests that they will sell.

Observers like to carry out “teardowns” of technology products to work out profit margins based on the cost of a device’s component parts. Teardowns of last year’s cheaper iPad mini seem to suggest that although profit margins may have been down on earlier models, Apple maintained its 50-58% margin on each device. It would be no surprise to discover that Apple has found a way to apply these manufacturing techniques in this cheaper iPhone while maintaining the same build quality and margins.

The 5C seems to be directly targeted at the midrange sector and emerging markets, which are currently dominated by Android phones. In a nod to the importance of emerging markets, Apple will release the new phones in China on 20 September, at the same time as launching them in the US and the UK, meaning Chinese Apple fans won’t have to wait any longer. That said, phones that have succeeded in the Chinese market before now typically have a wider screen size than Apple is offering.

Are the new features of the iPhone 5S enough to make it worth upgrading? If you currently have an iPhone 5 then probably not, although you could sell on your old device to offset the cost of switching. Many consumers will be coming out of an 18-24 month contract soon and may be sitting on iPhone 4 or 4S models – the longer screen, better battery life and camera may be enough of an inducement to switch to the new versions.

Alternatively, owners of iPhone 4 4S and 5 models have been promised an operating system upgrade at the end of this month, which will be like getting a new phone. This will be the first software that Johnny Ive has had a hand in designing following Apple’s reorganisation. The upgrade radically changes the interface, refreshes the apps and offers different features, something which has not occurred in any previous update. Anticipating that this degree of change may be a shock for some consumers, so Apple is reportedly prepping its online and instore support for those suffering from iOSTSD (iOS Traumatic Stress Disorder).

So, it’s nods to the middle and eyes to the East with the new iPhone launch but also a play-safe appeal to Apple fans with a traditional, higher-specification upgrade. Which version of the new iPhone is the bigger success may dictate future directions for the company.

Barry Avery does not work for, consult to, own shares in or receive funding from any company or organisation that would benefit from this article, and has no relevant affiliations.

The Conversation

This article was originally published at The Conversation. Read the original article.

Apple chief executive Tim Cook praises the new iPhone 5S as the most refined model the company has ever introduced. Photo: AFP/Getty Images
Barry Avery is a Principal Lecturer in Informatics and Operations at Kingston University.
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Why Theresa May is a smuggler's best friend when it comes to child refugees

Children prefer to disappear than trust the authorities.

On Monday, Theresa May abolished the post of minister for Syrian Refugees. On Tuesday, a House of Lords select committee report found there were 10,000 migrant and refugee children missing in the EU, of which Britain is still technically a part. And smugglers across the continent raised a glass.

Children do not stay still. In 2013, Missing Children Europe reported that half of unaccompanied children placed in reception centres vanished within the next 48 hours. One explanation is that they fall prey to the usual villains – pimps and gangs. 

But there is another explanation. Refugee and migrant children have so little trust in the authorities that they would rather disappear and put their faith in the underworld. 

One reason for this is that under EU law, asylum seekers are returned to their first point of entry, which is likely to be an overcrowded Greek port rather than a city with education facilities and job prospects. 

Children will go to extreme measures to disappear. The report noted:

“We were particularly troubled to hear of children in Italy and Greece burning or otherwise damaging their fingertips in order to avoid registration, in many cases because they were afraid of being detained or forcibly returned to transit countries having reached their final destination.”

Children are also desperate to find their families. The EU’s Family Reunification Directive should in theory reunite families who have successfully sought asylum, but the UK has opted out of it (and now the EU altogether). Other EU member states have moved to restrict it. The UK has opted into the Dublin Regulation, which allows for family reunification. 

This is partly due to a suspicion that family reunification acts as an incentive for families to send children first, alone. But the report found no evidence of that. Rather, it is usually a case of parents trying to protect their children by sending them out of a dangerous situation. 

The process can be achingly uncertain and slow. Smugglers understand how impatient children are. Two MEPs told the select committee about the port in Malmö, Sweden:

"Traffickers await the arrival of minors, telling them that: 'Well, we can get you to your family much quicker than if you go through the system here' and that 'Getting a guardian will take ages, and then they do the age assessment, which is intrusive. Don’t do that. Just go there, call this guy, take this mobile and they’ll take care of you.'”

In his brief time as Syrian Refugees minister, Richard Harrington brought the topic of unaccompanied minors to MPs again and again. He promised to improve the speed at which applications under the Dublin Regulation were processed. On 13 June he told MPs: “We are doing our absolute best to speed it up as much as we can.”

His role has now been absorbed into the Home Office. No. 10 described it as a temporary position, one no longer needed now the resettlement programme was underway. When the UK finally triggers Article 50 and begins Brexit, it can also leave its EU obligations behind as well. May, the former Home secretary, voted against allowing in 3,000 child refugees.

This does not bode well for asylum policy in Brexit Britain. Meanwhile, with no fast legal route to family unification, smugglers can look forward to the kind of bumper profits they enjoyed in 2015

The consequences can be fatal. Masud, a 15-year-old unaccompanied Afghan, travelled to Calais in the hope of reaching his sister in the UK under the family reunification rules. 

As the report put it: “Masud died in the back of a lorry while trying to reach the UK just before the New Year, having lost hope that his claim to join his sister would ever be heard.”