Tuesday's Market Minute: LEO, 5G & What To Expect From The iPhone 13 Release

September this year means one thing and one thing only: it’s time for new Apple AAPL products. As the days begin dwindling down to the highly anticipated iPhone 13 drop, rumors have flooded the internet on what to expect from one of the most profitable companies in the world when it releases the latest and greatest in their line of devices.

iPhone 13 took Twitter by storm on Monday, with over 14 thousand tweets circulating on how the iPhone 13 does not appear to offer enough substantial differences from the iPhone 12. This followed reports from a TFI Securities analyst, Ming-Chi Kuo, who said the iPhone 13 series will use LEO satellite communication to enable voice calls and messages without cellular coverage.

LEO satellites, otherwise known as low Earth orbit satellites, were an ambitious concept back in the 90s. But now, 20-some years later, the new-and-improved LEO-satellite concept boasts of offering faster communication with lower latency and higher bandwidth than GEO satellites, cable, copper, and pre-5G wireless. According to Kuo’s note to investors, if Apple enables this software, “iPhone 13 users can call and send messages via satellite when not within 4G/5G coverage.” He highlighted that in today’s world, the mobile network industry is “facing two revolutions” between LEO satellites and 5G.

Kuo also noted the satellite company “most likely to cooperate with Apple” for the concept is Globalstar, which already has an existing satellite phone network in low Earth orbit. Globalstar shares closed Monday over 64% percent higher as investors learned of the possibility of an Apple deal.

Although no speculation will be confirmed until the actual release, there is undoubtedly much anticipation heading into the event given the global chip shortage, supply chain woes, and heightened interest from consumers in China. For September, investors are expecting the release of an iPhone 13, iPhone 13 Pro, Apple Watch Series 7, and Airpods 3. In October, it is anticipated the new iPad and iPad mini will be unveiled, followed by the MacBook Pro and Mac Mini in November.

Image by Ylanite Koppens from Pixabay