Prudential on iPhone

Apple has reportedly begun iPhone production, and has already begun the production ramp on a small scale which should be ready for a full launch late in the first quarter of 2007 or early in the second. A music phone is likely to mark the launch with a more full-featured smartphone following one or two quarters later, according to Prudential analyst Jesse Tortora, who further anticipates the release of a widescreen iPod in the same time frame and claims evidence that Apple is hiring game designers. "Apple may have interest in entering the video game market longer-term," Tortora said, who raised his valuation of Apple stock from $74 to $87 based on sales estimates for the iPhone. The new phone could sell between 7 to 8 million units in 2007, according to predictions, and the introduction is also likely to benefit Broadcom as well as Intel, both of which have been singled out as potential part suppliers for Apple's cellular device, according to Electronista.

by MacNN Staff