An ‘iPhone Air,’ price hikes and AI: What to watch at Apple’s biggest event of the year

As anticipation builds for Apple's annual event on September 9, the tech giant is expected to unveil a new, sleeker version of its flagship phone, potentially dubbed the "iPhone Air." This launch could mark the first significant redesign of the iPhone since the introduction of the iPhone X in 2017, which featured a home button-less design and the now-standard Face ID technology. Analysts suggest that the iPhone Air could introduce variety to the iPhone lineup, catering to consumers who are looking for something different. Despite solid sales figures, Apple faces challenges as customers are becoming more selective about upgrades, as indicated by the latest earnings report from July. Market research from Consumer Intelligence Research Partners shows that consumers are not upgrading as frequently, especially when new features do not seem compelling enough. While competitors like Samsung and Google have integrated robust artificial intelligence features into their devices, Apple is expected to focus on hardware enhancements instead. Recent reports suggest that Apple may not prioritize AI advancements at this upcoming event, raising questions about its competitive edge in the AI space. The looming question for Apple is whether its iconic product can still captivate consumers. With Google recently launching its Pixel 10 lineup, which prominently features AI capabilities, and Samsung highlighting similar technologies in its Galaxy S25, Apple appears to be falling behind. Analysts warn that this could impact its customer retention if Apple does not present compelling AI tools soon. Apple CEO Tim Cook acknowledged the importance of AI in a recent earnings call, noting the company's commitment to embedding the technology across its devices. However, analysts from IDC have pointed out that AI may not be a significant factor driving consumers to upgrade their devices. As for pricing, analysts predict potential hikes due to increased component costs and tariffs. There is speculation that Apple might remove lower storage options for the iPhone 17 Pro to encourage purchases of more expensive models. Such moves could be a strategy to maintain profit margins, but they also place the focus on pricing rather than product innovation. With a global smartphone market share of 15.7%, the iPhone remains a dominant player. Yet, analysts believe that Apple needs to present more than just a new design to entice consumers, especially as economic pressures lead many to delay upgrades. The expected iPhone Air may risk being overshadowed by its competitors if it fails to deliver significant advancements beyond aesthetics. In recent years, Apple has struggled to find a fourth model that resonates with consumers, having phased out the iPhone Mini after only two generations. The new Air model, anticipated to replace the Plus variant, may have to make compromises, such as featuring only a single camera, which could deter buyers looking for more advanced options. While the concept of a slimmer, more portable iPhone could appeal to some, it remains to be seen if it will be enough to sway consumers in a crowded market.