Apple announced three new iPhone models: the iPhone XR, iPhone XS and iPhone XS Max. All three models include large displays with minimal borders, no home button and the FaceID camera system for unlocking the device using facial recognition. Here's how the pricing strategy breaks down. The entry-level model The entry-level iPhone XR, which starts at $749, will likely be a big seller. It has many of the key features found in the high-end X line, including FaceID and a high-powered processor that should make certain tasks faster and more efficient. But costs a lot less than last year's X thanks to features like its cheaper LCD display, aluminum body and single-lens camera. To those who were put off by the $1,000 price tag on last year's iPhone X, this year's iPhone XR will look like a steal. That could help overall unit sales pick up. At the same time, the iPhone XR is more expensive than last year's entry-level iPhone 8, which started at $699. And two years ago, it cost only $649 to get the newest base iPhone model. In other words, the cost of entry to get in on the latest iPhone has increased by $100 over the last two years. The high-end The mid-range iPhone XS starts at the same $999 price as last year's iPhone X and is functionally similar. But last year, the X was the top of the line, the luxury model. This year, Apple is selling the iPhone XS Max with a 6.5-inch screen, which starts at $1,099 and goes all the way up to $1,449 if you get the model with 512GB of storage. It's the most expensive iPhone Apple has ever produced.
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