This year, Apple is expected to launch three new iPhone models - a direct successor to this year's premium iPhone X, a larger and even more expensive version of the successor to the iPhone X, and a lower-cost model with a less advanced liquid crystal display (LCD). Just last month, a report surfaced indicating that Apple has been working on a way to combine the iPhone X's TrueDepth camera system with the device's front-facing camera, a design that would result in a smaller notch.
The LCD model is expected to be the best-selling model in the lineup because it'll be the cheapest.
Analyst Ming-Chi Kuo of KGI Securities says a less-expensive iPhone could sell up to 105 million units during the 2018-2019 product cycle.
As per the latest news, the Cupertino based giant Apple is presently working on three new iPhones and have plans to launch them this year itself.
Additionally, despite this, Kuo believes that this phone will be Apple's most successful iPhone this year and estimated sales around 100 million units. Or, put another way, with all else equal, gross profit dollars will grow by $100 million.
Kuo expects the 6.1-inch LCD iPhone to account for around 50 percent of the new iPhone line-up's shipments, with sales remaining strong into 2019.
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Fortunately for TSMC, the company is believed to be the sole manufacturer of the applications processors that'll power the upcoming iPhones - a much higher-value part than the cellular modem - and the company will likely manufacture chips for other key Apple suppliers as well.
Ashraf Eassa owns shares of Intel and Qualcomm. The Motley Fool recommends Broadcom Ltd.