Apple abandons the all glass iPhone: How will this affect the company?

Analysts at Jefferies have downgraded Apple's stock rating and lowered their price target. One of the reasons cited was the company's decision to abandon the ambitious all‑glass iPhone project.

Why this matters

The all‑glass smartphone was expected to be one of the most expensive and technologically advanced devices in the lineup. Analysts believed such a model could encourage buyers to upgrade to the more expensive Pro and Pro Max versions, thereby raising the average selling price (ASP) of the iPhone.

Following reports of the project's cancellation, Jefferies lowered their forecast for the average annual growth of iPhone ASP for fiscal years 2026–2031 from 9% to 6.1%. The stock rating was downgraded from "Hold" to "Underperform," and the target price was cut from $285.56 to $263.66.

Memory‑related challenges

Analysts also cite the cost of memory as an additional pressure factor. According to Jefferies, Apple is testing a DRAM increase to 16 GB only for the iPhone 19 Pro Max. If memory prices continue to rise, the additional 4 GB could cost the company $60–70, raising questions about the viability of such an upgrade.

Betting on the foldable iPhone

In this context, the foldable model remains the main tool for increasing the average selling price. Jefferies expects its starting price to be around $2,099, with the 2 TB version potentially reaching $3,099. At the same time, analysts consider the device a niche product and forecast sales of about 14 million units in fiscal year 2028.

In brief

Apple has cancelled the all‑glass iPhone project, which could have helped boost the average selling price of its devices. As a result, Jefferies analysts have downgraded the company's stock rating and lowered their ASP growth forecast. Rising memory prices add further pressure. The main hope for increasing the average iPhone price now rests on the foldable model, with an expected starting price of around $2,099.