iPhone 5 Event to See One New Device Launched, Not Two - Sterne Agee

Sterne Agee analyst Shaw Wu has issued a note to investors commenting on Apple’s now-confirmed October 4 iPhone event, and remarked that the figure ‘1’ shown as a notification badge on the Phone application icon indicates there’s going to be just 1 new iPhone launching this year.

Shaw Wu has been quoted on Apple matters many times. The analyst, working with Sterne Agee, has a mixed track record of predictions, just like most Wall Street buffs.

However, it is only fair to assume his reasoning regarding Apple’s October 4 event is most likely accurate.

In a note issued to investors this week, Wu cautioned that those who are expecting more than one new iPhone from Apple may end up disappointed.

He believes the graphics on the event invitations bear some indication of that:

"What we found most intriguing is that the green phone icon on the invite has a number 1 next to it perhaps signaling that only one new iPhone will be announced,” Wu writes.

“This is consistent with our supply chain checks...but could be disappointing for those who had been predicting 2 or 3 new iPhones," he adds.

(For my part, I proposed that the notification badge reading 1 missed call can be added to the 4 on the calendar icon to suggest an iPhone 5 announcement)

Wu clarifies that even with just one new iPhone announced, there may still be something to expect from Apple in terms of more affordable iPhone purchases following the announcement.

Much like other analysts who have been vocal on the matter, Wu believes the iPhone 4 may see minor hardware changes so that Apple could sell it cheaper and make a foray into the mid-tier smartphone market. The iPhone 3GS is still on the roadmap as far as Wu is concerned.

"We continue to believe there will be a new iPhone flagship (likely called iPhone 5) and then the current iPhone 4 could see minor changes and a price cut to $99. We potentially may even see the iPhone 3GS price cut to $49 or free to address the entry-level," Wu concludes.