iPhone 6: Expect to Pony Up More Cash For the 5.5-inch Model

If you’re waiting for Apple’s rumored iPhone 6 phablet, the one with the larger 5.5-inch screen, you may want to start saving a few extra pennies. A new report from Raymond James analyst Tavis McCourt suggests that Apple will charge an extra $100 for the larger iPhone 6, likely due to the increased costs of components for the device. Displays are often one of the most expensive pieces of kit on a smartphone, so the larger it is the more it’s going to cost Apple.

The good news? McCourt says some consumers aren’t going to mind coughing up the extra cash. “Our June consumer survey points to continued growth in the willingness of iPhone users to pay $100 more for a bigger screened iPhone, with now a full one-third of survey respondents willing to pay a $100 premium. Data seems to suggest meaningful demand for a larger screen, which should logically mean the iPhone 6-cycle will be strong for upgrade sales, which combined with modest contribution from wearables should cause a modest acceleration in revenue growth in fiscal 2015.”

It’s not uncommon for larger-screened phones to cost more than their smaller counterparts. Samsung’s Galaxy Note products typically run about $100 more than the Galaxy S devices with a new two-year contract. This is all assuming, however, that Apple’s design and materials in the larger iPhone are consistent with the smaller 4.7-inch iPhone 6. If plastic is used – though we doubt it – then there may not be a need to price the phone as high.

Apple’s new iPhone 6 with a 4.7-inch screen is due in September. There are conflicting reports as to when we’ll see the 5.5-inch iPhone 6, though most pundits believe it will land around the September or October time frame.