iPhone 8 price may be cheaper than you think

Apple's upcoming iPhone 8 is poised to be a complete game-changer. After years of keeping the iPhone form factor more or less unchanged, the iPhone 8 will likely feature an edgeless OLED display with a Touch ID sensor embedded into the screen itself.

Additionally, it's widely believed that the iPhone 8 will offer up improved water resistance, faster internals, wireless charging, facial recognition software and much more.

While nothing is ever a guarantee until Apple makes it official, there's good reason to believe that the iPhone 8 will represent one of the biggest leap forwards in iPhone technology we've seen in years. Having said that, there have been a number of interesting rumors regarding the iPhone 8's retail price over the past few weeks.

Now, given that the iPhone 8 will be positioned as a premium device, Apple will, not surprisingly, price it accordingly. That said, early reports indicated that the going price for an iPhone 8 would fall somewhere in the $1,000 range, a price point that naturally gave many prospective consumers pause.

Thankfully, the iPhone 8, while expensive, won't necessarily break the bank. According to a new research note from UBS, the financial services company anticipates that the iPhone 8 will be priced similarly to Samsung's recently released Galaxy S8 and S8 Plus.

Specifically, UBS believes the entry-level iPhone 8—with 64GB of storage—will be priced in the $870 range. Presumably, an iPhone 8 with more storage will inch closer to the $1,000 threshold without surpassing it. By way of contrast, the gargantuan Galaxy S8 Plus retails for $840. While that's cheaper than the rumored price of the iPhone 8, Apple has traditionally sold its products at a premium relative to the competition.

"Apple's top model will be at a display size disadvantage to Samsung's Galaxy S8 Plus," UBS said in a note obtained by CNBC. "We still think Apple will choose to price its top model relative to Samsung's top model, but remain cautious on how much higher Apple could ultimately go on price given a smaller display."

CNBC adds:

Even the iPhone 7 Plus, which saw a $20 price rise from the 6 Plus, "has had more demand than any other Plus model released."... The investment bank expects the Plus could account for over 40 percent of iPhone sales in fiscal year 2017 versus a historical average of 25-30 percent.

Indeed, Apple customers have never been shy about paying more for additional features. In fact, we saw this dynamic play out with Apple's 2016 iPhone lineup when demand for Apple's pricier iPhone 7 Plus was so high that it even caught Apple executives off guard. If you recall, the iPhone 7 Plus featured an advanced dual-camera system not present in the smaller 4.7-inch iPhone 7 model.

As it stands now, the main question currently looming over the iPhone 8 centers on when the device will actually launch. In recent weeks we've seen conflicting reports about the iPhone 8 release date, with the most recent report claiming that the device will launch sometime in October or November.

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