AAPL Apple Inc

By Robert McMillan 

Apple Inc. is expected to unveil the latest versions of its iPhone Wednesday, but without the types of significant new features that Apple consumers have come to expect every other year.

Chief Executive Tim Cook is set to speak at an event in San Francisco, where Apple typically releases new models of its flagship product.

The fall product launches are an annual ritual. But Apple watchers question whether the relatively incremental changes expected in this year's phones will be enough to reignite excitement about the iPhone. Sales of the phone have been falling as consumers wait longer to upgrade, and Apple faces fresh competition from rivals including Samsung Electronics Co. and Huawei Technologies Co.

Much of the anticipation around the event centers on the phone's headphone jack. The Wall Street Journal reported earlier this year that Apple plans to eliminate the 3.5-millimeter jack, to make the phone thinner and improve its water resistance. Critics panned the idea, but some believe the move may push the technology industry into more widespread adoption of wireless headphones.

Analysts also have speculated that some new models may have two camera lenses -- to improve image quality, particularly on wide-angle and close-up shots -- and a pressure-sensitive home button, incorporating technology used in Apple Watch. Apple also may introduce a new version of the Watch at the event.

Apple declined to comment on "rumors" ahead of the event.

The iPhone propelled Apple's extraordinary growth in recent years, making it the world's most valuable company. But the glow from Apple's initial large-screen models, introduced in 2014, has faded. Revenue from the iPhone fell 23% in the quarter ended June 25, and Apple shares are down 4.9% over the past 12 months.

Analysts expect the new phones to boost Apple sales next year. UBS Group AG expects iPhone unit sales to decline 9% for Apple's current year, ending Sept. 24, but to rise 5% in the year ending in September 2017, to 222 million units.

Write to Robert McMillan at Robert.Mcmillan@wsj.com

(END) Dow Jones Newswires

September 07, 2016 11:41 ET (15:41 GMT)

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