John Gruber Speculates on the Price and Strategy Behind This Year’s iPhone

John Gruber writing at Daring Fireball:

[…] if Apple expects severe supply constraints on these iPhones, I think prices of $1199 (64 GB) and $1299 (256 GB) are more likely. I honestly don’t think something like $1249/1399 is out of the question.

The prices for these iPhones need to be high enough so that tens of millions of people still want to buy the iPhone 7S and 7S Plus. If the “iPhone Pro” or “iPhone Edition” or whatever it is that Apple is going to call this phone starts at $800 or even $900, who is going to buy an iPhone 7S or 7S Plus? Not enough people, that’s who. Apple needs tens of millions of people to buy the 7S and 7S Plus because they aren’t going to be able to produce the “Pro/Edition” model in sufficient quantity.

He’s right. I don’t want him to be because this would price me out of the new hotness, but it makes sense. I encourage you to read his whole analysis / reasoning, it’s quite good.