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KGI: iPhone 7 to feature 2.4GHz A10 chip, IPX7 water resistance, new 12 megapixel cameras, 2 black color options, Lightning EarPods, 3GB RAM in Plus model, more

Benjamin Mayo / 9to5Mac :

9to5Mac Benjamin Mayo

Context & Ripple Effects

KGI's September 2016 note reads differently now than it did three days before launch: the related coverage shows Apple's own announcement [[a:874339|confirming stereo speakers, a force-sensitive haptic home button, water resistance, and a 12MP f/1.8 camera with OIS]] — nearly every headline item in KGI's forecast held up. The only real surprise left was what replaced the headphone jack.

The teardown follow-up settled that question: iPhone 7 and 7 Plus teardowns found a bigger Taptic Engine occupying the jack's former space, 3GB of RAM in the Plus exactly as KGI predicted, an Intel modem in some models, and a 2,915 mAh battery. KGI's pre-launch accuracy turned its note into the de facto spec sheet buyers used before preorders opened on September 9.

First-order effects

  • Buyers deciding between the 7 and 7 Plus got a differentiated memory split — 3GB in the Plus versus less in the standard model — making the Plus the default choice for power users at preorder.
  • Lightning EarPods in the box confirmed the headphone jack's removal, forcing every iPhone 7 buyer into an immediate adapter, Lightning-headphone, or Bluetooth decision on day one.

Second-order effects

  • Accessory makers had to re-rank their roadmaps around Lightning and Bluetooth audio, since the teardown showed Apple physically repurposed the jack cavity rather than leaving room for a future reversal.
  • IPX7 water resistance became table stakes overnight, pressuring Android flagship makers to match the rating in their next cycles or concede a spec-line disadvantage.

Third-order effects

  • KGI's hit rate cements the Ming-Chi Kuo supply-chain note as a standing institution in Apple's cycle — leaks now shape pre-launch demand, and Apple's keynotes increasingly function as confirmation events rather than reveals.
  • The port-removal-plus-redesign pattern points forward in KGI's own pipeline: later notes project 64GB/256GB storage tiers across the line and an OLED iPhone without fingerprint recognition, suggesting Apple will keep trading physical features for internal architecture gains.

The trend: Apple's product cycle now runs through supply-chain analysts like KGI, whose pre-launch notes set buyer expectations days before Apple confirms them on stage.