A few sources have reported that Apple is working on a cheaper iPhone to launch with the normal iPhone 5S. Most people with the information believe the cheap iPhone will be on the China Mobile, a major wireless provider in China. They also serve Hong Kong (part of China) and Pakistan. The phone is reported to be constructed of a polycarbonate plastic. These reports have been denied by Phil Schiller, an Apple executive. Apple is usually know to lower the price of their past iPhones instead of making a new one with less features. For example the iPhone 4 is now free with a contract, and the iPhone 4S is $100 with a 2-year contract. The 16GB iPhone 5 remains $200 with a contract. If you asked most people interested in a cheap smartphone, they wouldn’t need all the features of the newer model. In addition to this, software updates are also available!
Kirk Yang, a Barclays analyst, recently published a report stating that despite the denial coming from Apple, there will be a cheaper iPhone released in August or September, alongside the new iPhone 5S. It’s predicted that with the budget iPhone being released on China Mobile, it will have TD-LTE support. Manufacturer Pegatron has allegedly been called in to build the device.
Releasing this iPhone may be Apple’s way of going after budget Android phones. I think now Apple understands not everyone needs the latest and greatest!