Rumor: Apple working on cheaper iPhone

Posted on Jan 8 2013 - 8:21pm by Phalgun Shenoy

iPhone 5

Apple makes quality phones, and mostly priced high. In the US, we can get an iPhone for ourselves on contract, which means we don’t pay as much as people overseas. Some countries like India and African countries cannot get smartphones on contract because the system isn’t popular over there, so users are forced to buy it unlocked, which ends up being a very costly affair. An iPhone can cost as high as $700, and since people in such countries also tend to have low income, Apple ends up selling very few units.

Same holds good for companies such as Samsung and LG, but they have made a note of it and launched cheaper versions of their flagship devices. Samsung has a whole line up of mid-range Galaxy devices which are affordable, and they are very successful at it. One main reason why companies like Samsung are able to do that is because their phones run Android, which is open source. Apart from that, such phones also tend to have mediocre hardware specifications, and the target audience is fine with that because they are paying less anyways.

Apple on the other hand price their devices costly. Like most of the manufacturers out there who would like to sell more and more units in order to top the charts, Apple is no different. Apple is still selling fairly old iPhone 3GS in order to address such markets, but according to recent reports, the Cupertino based technology giant is working on a new low cost iPhone that can be sold in such markets. Taiwan based Digitimes got some heads-up from the supply chain sources and below are some of the quotes:

Some sources claimed that they have seen the sample of the low-cost iPhone, which will come with a larger display, meeting the prevailing trend for the adoption of 5-inch displays for high-end models. They added that the low-priced iPhone will also have a brand new exterior design.

Recently launched iPad mini, which costs significantly lower and is more compact, is doing very well in China, and looks like that is motivating Apple to launch a new low cost iPhone for the Chinese market. According to the sources, the company will be giving this new model a larger display in a wake to the new trend where in which all the companies are moving to 5 inches and higher screen sizes, but what sources are saying could be wrong because Apple recently bumped up the screen size to 4 inches in the recent iteration of iPhone, the iPhone 5.

Qualcomm’s recent launch of its latest family of Snapdragon chipsets, including the dual-core MSM8960 and the quad-core APQ8064, for the entry-level to mid-range smartphones may pave the way for Apple bringing out the low-cost iPhone, added the sources.

The above quote also seems doubtful since Apple has its own chip designing division. We have had many rumors about the cheaper iPhone before and none of them have materialized yet, so take this rumor with a pinch of salt. Do you think Apple will launch a cheaper iPhone? Let us know.

Source: DigiTimes

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