Analyst: 5G iPhone sales next year may disappoint investors due to network coverage

According to foreign media reports, due to problems with chips and other aspects, Apple failed to catch the 5G train this year, but analysts expect it to launch an iPhone that supports 5G networks next year. Guo Mingchi even expects to launch four models at once next fall. Next year's iPhone sales are also expected to increase significantly due to 5G.

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But now there are different opinions. Some analysts predict that due to the impact of 5G network coverage, the sales of 5G iPhones next year may not meet analysts' expectations, which may disappoint investors.

Gene Munster, a partner and analyst at Loup Ventures, predicts that 5G iPhone sales may disappoint investors next year.

Gene Munster said that due to factors such as the coverage of 5G networks in the United States, the sales of 5G iPhones next year may disappoint investors. But he also admitted that Apple's devices will play an important role in 5G, but the popularity and coverage of 5G networks will take time, which is why he believes that Apple's 5G iPhone sales next year may disappoint investors.

The coverage of 5G network is not determined by Apple. It all depends on the investment and construction progress of telecom operators. Regarding the coverage of 5G network in the United States, foreign media mentioned in the report that T-Mobile has currently established a 5G network covering the whole United States, and the coverage of 5G networks of other operators will gradually expand.

Verizon is the largest telecommunications operator in the United States. Regarding the popularity of 5G iPhone in the United States, Verizon's CEO Hans Vestberg previously stated that by 2024, only half of American consumers are expected to own a 5G iPhone.

Although Gene Munster predicts that the sales of 5G iPhones next year may disappoint investors based on the coverage of 5G networks in the United States, the American market, where the United States is located, is currently the largest source of Apple's revenue. In the fourth quarter of fiscal year 2019 ending October 30, Apple's revenue in the American market was US$29.322 billion, accounting for 45.79% of the total revenue of US$64.04 billion in the quarter.

In addition, the coverage of 5G networks is not just a problem in the United States, but also in other countries around the world. It will take several years to fully cover them. Although South Korea, the United States, the United Kingdom and many other countries have launched 5G commercial networks, they are still a minority after all, and many countries have not yet launched them.