Analyst reinvents the wheel, says iPhone 5S will look the same as iPhone 5

By , Feb 5, 2013

iPhone 5S (Martin uit Utrecht 001)

Apple’s 10-Q filing with the United States Securities and Exchange Commission shows purchase commitments for the March quarter dropping from $4.5 billion two quarters ago to just $904 million. Of course, two quarters ago Apple was ramping up iPhone 5 production and investing heavily in then new in-cell touch displays. Still, that’s a huge drop.

One clever interprets this data point as a sign of the iPhone 5S not needing new manufacturing processes, in turn proving it’s gonna look just the same as the current-generation iPhone 5. Notable changes will be from the inside, like the speedier CPU/GPU, better cameras and what not. Man, I should have been an analyst…

Morgan Stanley analyst Katy Huberty stated the obvious in her note to clients (via BusinessInsider, emphasis mine):

Lower planned purchases of production equipment sets up for higher iPhone 5S margin. The 10-Q discloses $904M of commitments for equipment purchases compare to $4.5B just two quarters ago when Apple invested in new in-cell touch displays for the iPhone 5.

The decrease is likely due to iPhone 5S not requiring significant hardware changes, therefore iPhone GM could be much higher in C2H13.

She also says Apple stands poised to secure better deals on NAND components going forward, pointing to the recently unveiled 128GB iPad 4, due tomorrow.

Apple typically issues a major iPhone redesign every two years. Each mid-cycle refresh is basically a specs bump up. As the current iPhone 5 design debuted in September 2012, a major face-lift shouldn’t be expected this year.

iPhone 5 and iPhone 5S backplate (ETrade Supply 001)

Apart from a few leaks here and there, not much is known about the iPhone 5S.

Per usual, the rumor-mill churns out a number of theories, ranging from wild predictions of a jumbo-sized iPhone to the iPhone 5S in colors to a substantial speed increase via the A7 chip and a 13-megapixel camera.

Apple’s 10-Q (PDF document) also states a whopping $10 billion in capital expenditure this fiscal year, a $2 billion increase year-over-year. By comparison, Intel dedicated up to $12.9 billion in capital expenditure and Samsung’s semiconductor cap ex stands at $12.2 billion.

Finance boss Peter Oppenheimer told investors on a conference call that Apple will invest “a little bit under $1 billion in retail stores“.

And the other $9 billion?

This will go “in a variety of areas”, but mostly on manufacturing equipment for new products:

We’re buying equipment that we will own that we will put in our partners facilities.

Nine billion dollars on equipment in just twelve months is a lot of money, even by Apple’s standards.

Maybe Apple is switching to Liquidmetal?

iPhone 5 Liquidmetal concept (image 001)

If you ask experts, mass-scale manufacturing of this alloy is at least five years away so Liquidmetal is the least possible answer.

Another (and likely) possibility: Apple could be looking to update the look of most of its products throughout the year. And don’t forget the ongoing expenses on iCloud enhancements.

Oh, and that Project Azaela, too.

Of course, there’s also that constantly looming third option: a standalone TV set, requiring new plants and a bunch of new manufacturing equipment.

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  • Zorvage

    Reading this on my jailbroken iPhone 5 :)

    • http://www.facebook.com/profile.php?id=558812483 Gustavo Adolfo Mirabal

      cool its jailbroken, now my question is… did you get any app or tweak? dude i have almost 16 hrs and couldnt even download activator!!! so frustrating

      • http://www.facebook.com/mounish.too Mounish Monu

        try now u can get all u needed from cydia

      • http://www.facebook.com/profile.php?id=100000061961790 Ian Jackson

        Good things come to those who wait. I have like 5-6 tweaks, just got SBSettings and Activator..

      • Jeff H

        my sbsettings wouldnt show up in my NC even when i enabled if from the settings app

      • Felipe Drumond

        I left sbsettings… Installed NCSettings on my iphone 5 and its better, in my opinion.

      • Johnathan Jennings

        NCSettings isn’t iOS 6 compatible yet. Ima wait for that one

      • Antsa

        It’s still working properly on iOS 6.1 though.

      • Felipe Drumond

        Retry. The sources are very busy… all the worlds trying to download tweaks!!!

      • Johnathan Jennings

        I have Zephyr, SwipeSelection, BiteSms, and Unfold all installed. Cydia isn’t working 100% but I can install tweaks on my i5

      • http://twitter.com/PhilBeez86 U Kn0w What 1t 1s

        I have almost all of my old tweaks as of around 11pm last night

      • http://twitter.com/randomprice Sol Estravís

        Really? I downloaded Activator, SbSettings and Swipeselection a couple of hours ago. Try again, you might get lucky.

    • http://www.facebook.com/kenrick88 Kenrick Fernandes

      Sir how much battery life do you get on your iPhone 5 on 3g

    • http://twitter.com/imonlypixels Keyur Savjani

      I’m jealous. My iPhone 6 doesn’t have a jailbreak yet. :(

    • sambuzzlight

      i have an iphone 4 :( poor fellow getting old and slow

  • 笑傲江湖

    着是真的么?

    • http://twitter.com/digitalfeind Dani Hayes

      Yes

    • Daniel

      Exactly.

    • RarestName

      还没确定

  • http://twitter.com/Tashawn X Heart, X Fingers.

    No way… I wonder how that analyst figured that.

    • ClaudieX X

      I just saw your photo and said… Man! The Milli Vanilli singer!! And starts BABYYY… DONT FORGET MY NUMBER… papapapa papapapa BABY…. Hahahaha…. Sorry man…. Hahaha…

      • http://twitter.com/Tashawn X Heart, X Fingers.

        I been told that in person the other day. Girl you know it’s true.. I doooo. oooo..

  • Martin

    That liquid metal iPhone concept would be awesome.

  • http://twitter.com/myorangeisstuck wahaha

    Damn the blue iPhone looks attractive

  • http://www.facebook.com/kenrick88 Kenrick Fernandes

    Did anyone before jail breaking restored their device on iTunes first ?

    • http://www.facebook.com/Jhonny1x Jonathan Jaimes

      Yeah I restored my iPhone 4S.

    • http://www.facebook.com/chrislongden Chris Longden

      No, my update to iOS 6.1 was OTA and I just thought sod – i’ll attempt the jailbreak because im lazy ;)

  • Daniel

    If Apple come out with “5S” instead of “6” and same size and shape like current iPhone 5, that gonna be worse that employing Bill Gates back in the 1980s.

    • Gray

      You must be new to iDevices.

      • Daniel

        I can smell what they gonna do. We both probably know that.
        But that’s bad. Very Bad. And that’s what I’m saying.

  • Falk M.

    Thanks Capt’n!

  • http://www.facebook.com/kenzietandun Kenzie Tandun

    I think i can be an analyst

  • Matthew

    Correct! That’s always what Apple has done in the past. First iPhone, iPhone 3G, iPhone 3GS, which looked the same as the iPhone 3G just new specs, iPhone 4, which was all new, iPhone 4S, looked the same but new specs, iPhone 5 all new, so I am surprised that analysts are just realizing now that the iPhone 5S will just be new specs and better camera.

  • Ernie Marin

    hahaha, I knew it was a better ideato get the iphone 5 now, and for me it waslike 3 days ago, now by the time the contract expires i’ll be on time for the iphone 6

  • sambuzzlight

    wow what a surprise!

  • http://www.facebook.com/joe.jonsen Joe Jonsen

    I WILL BE SKIPPING THE 5S AND THE IPAD 4 … IOS 7 will take a loooong time to jialbreak and i am just fine on 6.1 jailbroken ion i5 and ipad4…. i will sit and wait fro apple to actually make something new and great not this same boring stuff over and over again..

  • Mrsammy

    Now when installous is gone what do u guys use ? I tested the vshare and appcake but i cant download ..