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iPhone 5 production starts August – analyst

According to a new analyst report, the next generation iPhone will go into production "mid to late August"

Apple's next iPhone is near, according to Morgan Stanley analyst Katy Huberty wrote in a note to investors: "Apple's next iPhone will begin production in mid to late August." The note was issued yesterday after meetings with Apple's supply chain companies in Taiwan. She has predicted that the next generation iPhone will be released in the third quarter of this year.

As reported by Apple Insider, Huberty also noted that she believes an Apple branded television set is in its "early design stages", which reaffirms rumours from last week.

Lower priced iPhones could be on their way according to Huberty, who suggests that Apple is forecasting a large iPhone unit increase "on the back of new products at potentially lower price points."

Huberty believes that Apple's share price will rise over the next 60 days not only because of the new iPhone, but also due to the Japan's recovery from the recent natural disasters and nuclear worries. Huberty wrote: "Post-Japan earthquake production constraints have eased, putting upward pressure on iPad shipments." She added: "Apple is negotiating price cuts with some suppliers, potentially boosting margins modestly in the June quarter and more in September."


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