Apple’s latest iPhone 16 is gearing up for a strong upgrade cycle, according to Ben Bajarin, CEO of Creative Strategies. Bajarin, during a CNBC interview, highlighted the potential for a supercycle, echoing the trends observed with previous iPhone releases. He pointed out Apple’s substantial aging user base, with many still clinging to four or five-year-old iPhones.
Bajarin believes the iPhone 16’s feature set, particularly the base model, offers enough value to convince these users to upgrade. He also noted the recent shift towards the iPhone Pro but expects this trend to rebalance with the iPhone 16 due to its impressive features and aggressive carrier updates. Bajarin confidently declared the base-level iPhone 16 the ‘strongest’ they’ve launched in recent times. While he doesn’t anticipate a sudden surge in upgrades solely based on hardware, he predicts a significant portion of the aging base will upgrade within the next six months.
The iPhone 16, introduced at Apple’s ‘Glowtime’ event, is built with Apple Intelligence at its core, according to CEO Tim Cook. It boasts a faster processor and a dedicated camera button, among other features. However, the new iPhone series has faced criticism from some quarters. Chinese buyers, in particular, have shown less enthusiasm due to the absence of AI features in the initial launch. Apple Intelligence, the company’s AI software, will only be available in Chinese next year. Furthermore, Apple continues to restrict its eSIM-only iPhone 16 models with 5G mmWave to the U.S. market, mirroring its previous approach.
Despite these criticisms, the iPhone 16’s potential for a strong upgrade cycle remains high. Analysts and consumers alike are eager to see how these new features will translate to user adoption and overall market performance.
