Apple unveils iPhone 14 with satellite SOS

Apple dropped its cheapest option, the iPhone mini, meaning the cheapest model now costs $100 (€100) more than last year.

Apple introduced new iPhone 14 models capable of using satellites to send emergency messages and an adventure-focused Ultra Watch for sports like diving and triathlons.

The outdoor-focused products will test whether Apple's relatively affluent customer base will keep spending in the face of rising inflation.

Prices of the high-end iPhone 14s are the same as last year's iPhone 13 models. But Apple dropped its cheapest option, the iPhone mini, meaning the cheapest model now costs $100 (€100) more than last year.

The iPhone 14 will start at $799 and the iPhone Plus at $899 and be available for pre-order starting September 9. The iPhone Pro will cost $999 and the iPhone Pro Max $1,099 and be available September 16.

"It's interesting that they decided to essentially maintain pricing despite inflationary pressure," said D.A. Davidson analyst Tom Forte. "The decision or the strategy is Apple believes that it can sustain margins by discontinuing a lower-priced device in the lineup."

Apple said its satellite SOS will work with emergency responders. It also said that in some situations, users will be able to use its FindMy app to share their location via satellite when they have no other connectivity.

Shares in Globalstar jumped 20% on Wednesday after the satellite services firm announced it will be the satellite operator for Apple's emergency SOS service.

Apple will pay for 95% of the approved capital expenditure for the new satellites that would be needed to support the service, but Globalstar said it will still need to raise additional debt to construct and deploy the satellites.

- Reuters