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Kate Middleton new pregnancy rumor isn’t ‘official’ yet
Pippa Middleton and James Matthews’ wedding: all the details revealed
Pippa Middleton wedding: why Kate isn’t likely to be maid of honor
Pippa Middleton wedding dress details revealed
Kate Middleton stuns in blue coat during Luxembourg visit

iPhone 5 higher quality control costs to be partially absorbed by Apple

by Nicole
October 22, 2012 at 2:33 pm

Cupertino is expected to absorb some of the quality control costs associated with manufacturing the device.

Credit: Apple

On Thursday, Apple will announce its quarterly earnings report.

Sterne Agee analyst Shaw Wu expects the company to partially absorb quality control costs associated with the iPhone 5.

He predicts Apple’s gross margins for the near term will vary between 40.5 percent and 41.5 percent, which is below Wall Street estimates between 42 percent and 43 percent.

Wu also expects Apple’s margins to decrease due to the release of the rumored iPad mini.

He predicts the mini tablet will be sold at lower margins than the full-size iPad, which will help the company get a lower price point and face competitors like Amazon’s Kindle Fire HD and Google’s Nexus 7.

The analyst estimates that Cupertino sold between 25 million and 26 million iPhones for the September quarter, which is below Wall Street consensus of 27 million.

He also expects iPad sales to reach 16.5 million and Mac sales of 4.8 million units.

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