With the iPad reveal out of the way, attention has turned back to Apple's fourth-gen iPhone and what surprises that might bring. According to Morgan Stanley analyst Katy Hubert, Apple won't just address new features with their upcoming device but the total cost of ownership; Hubert reckons would-be Apple customers' primary concern is the iPhone's high initial purchase price, together with the cost of ongoing service.
"We expect Apple to launch new iPhones in June that offer both a lower total cost of ownership and new functionality, potentially including gesture-based technology" Hubert wrote in an investors note today. According to Morgan Stanley's own research, hardware cost and service plans far outweigh qualms over iPhone functionality among users.
Meanwhile Hubert is also enthusiastic about the iPad, predicting six million units will ship in the 2010 calendar year; that's significantly higher than the general 3-4m expectations. "We expect Apple to ship its first iPad and announce additional content deals in late March to better than expected demand" the analyst suggests.