Apple will bring out a budget iPhone to battle Android

[Nomad_]

http://www.theinquirer.net/inquirer/news/2025750/apple-bring-budget-iphone-battle-android

THE ICONIC Iphone has always been expensive, but Apple is reported to be developing cheaper versions of the smartphone in its battle to head off the looming success of Android.

A version that can be thought of as a poor man's Iphone is in the works, according to Bloomberg. The device will be cheaper and smaller, potentially broadening the market that the device will be able to reach.

Android increased its smartphone market share massively in the last year, simply because it is offered through a number of different manufacturers at varying prices. The Iphone is certainly an iconic gadget, but for many people the price is a real barrier. The addition of a less pricey model could shake things up considerably.

It would be complete guesswork to try to imagine what to expect from a budget Iphone. Yet, just consider that previous versions like the Iphone 3GS and 3G are already available at lower prices than the Iphone 4 and work in much the same way.

[AnotherITguy]

Im wondering as the poster said above, why not just use the 3G?

[philcruicks]

I'm thinking the 'iPhone nano' if they make it.

I don't think they will tho...Apple has always been about fairly expensive, but high quality products.

I find it hard to think the'll be able to take so much money off without compromising that.

thats if the rumoured ~$200 price tag holds...whats the current iPhone 4 ~$600? (UK so I'm guessing).

Thats a hell of a lot to take off...and what could they remove but still keep it an "iPhone"

Camera's/facetime, lower res display, smaller storage...thanks not going to save $400..and you effectively end up with a 3GS

...unless thats exactly what they're going to to....take the 3GS and just use the advances in tech to shrink it down...

Im wondering as the poster said above, why not just use the 3G?

and not everyone wants a large phone with all the bells and whistles, some people just like small devices. Thats why not the 3GS

yea sure anyone who wants a cheap iPhone go for it, but people will pay for smaller.

more details here

[Southern Patriot]

They really don't need to introduce a new model. All they have to do is continue to do what they have been doing for the last few years: offer a last-gen model for a deeply discounted price. I don't really see them offering a smaller model, simply because the interface isn't designed for a smaller screen. Many apps simply wouldn't work right or would be more difficult to interact with. This type of rumor crops up just about every year, so I've begun to take it with a massive helping of salt.

[V-Tech]

If they are planing to remove features from the iPhone then i dont think it will be a success really. People want the iPhone because of what it does and if it cant do things that the normal iPhone can i dont think that people will want to purchase it.

[Rudy]

What they could do is have the 3Gs free with a contract, iPhone 4 for $99 (just like the 3Gs right now) and the new phone coming out at $199

[Petvas]

A cheap iPhone isn't happening. It is against Apple's philosophy. If they were to create a smaller phone, it would still have a great quality and be relatively expensive.

[Southern Patriot]

What they could do is have the 3Gs free with a contract, iPhone 4 for $99 (just like the 3Gs right now) and the new phone coming out at $199

Exactly. Why would they go to the trouble of designing a new model with fewer features when they could simply continue to produce an older model for a cheaper price? In the end, they have the same thing: a budget iPhone. The only other thing I could possibly see them doing is adding 3G as an option to the iPod touch like they have in the iPad.

[Teebor]

YES the iPhone Shuffle!!

You can still loads apps on to it but it doesn't have a screen, and when you want to make a phone call you shake it and it randomly selects a number from your phone book to dial.

It could however have a lot of potential benefits in a voice operation interface. "Open Angry Birds" "Fire 40 Degree Angle full power" *You have hit a wooden wall and knocked down several others injuring one Pig and Killing three more* **There are three Pigs remaining, you currently have loaded a blue Angry Bird**

YES YES!!!!!!!!!! Apple could release a voice operated text based phone adventure game for this kind of thing, they could call it an iMUD and since this has never been done before it will be the greatest invention since sliced bread (until apple invents the sliced iBread anyway)

So much untapped potential

[FloatingFatMan]

I'll believe it when I see it.

Apple don't DO cheap. Never have. Never will. That's not the image they want.

[XerXis]

also it would do the one thing they loathe, fragmentation of their app market. Not going to happen.

[game_over]

YES the iPhone Shuffle!!

You can still loads apps on to it but it doesn't have a screen, and when you want to make a phone call you shake it and it randomly selects a number from your phone book to dial.

It could however have a lot of potential benefits in a voice operation interface. "Open Angry Birds" "Fire 40 Degree Angle full power" *You have hit a wooden wall and knocked down several others injuring one Pig and Killing three more* **There are three Pigs remaining, you currently have loaded a blue Angry Bird**

YES YES!!!!!!!!!! Apple could release a voice operated text based phone adventure game for this kind of thing, they could call it an iMUD and since this has never been done before it will be the greatest invention since sliced bread (until apple invents the sliced iBread anyway)

So much untapped potential

lolz :laugh:

[HawkMan]

A cheap iPhone isn't happening. It is against Apple's philosophy. If they were to create a smaller phone, it would still have a great quality and be relatively expensive.

following by their previous product like the iPod Nano and iPod shuffle.

a cheap phone, with just the ability to call peopel would be JUST their philosophy.

[dknm]

Odds are it won't happen . Free 3gs with a contract though ... :shifty:

[techbeck]

cheap and apple dont go together.

[Rudy]

cheap and apple dont go together.

If they truly want to compete with Android they'll have to come out with a cheaper alternative. The $99 phone was one way to do it but if they can do it cheaper it would be better

[Kirkburn]

following by their previous product like the iPod Nano and iPod shuffle.

a cheap phone, with just the ability to call peopel would be JUST their philosophy.

I think the point is not that the stuff is statically expensive, but relatively expensive - compared to others in the same kinds of markets. So while an iPod Shuffle is only ?40, compared to others in the same market, it may be more expensive.

So a cheap iPhone with only the ability to call people would be competing in a very different market, and would likely be relatively more expensive to others in *that* market.

I don't see that happening though.

[techbeck]

If they truly want to compete with Android they'll have to come out with a cheaper alternative. The $99 phone was one way to do it but if they can do it cheaper it would be better

Will believe it when I see it. Apple doesnt do cheap...never has. Besides, I kinda doubt it will even make a dent in Android sales. Still FAR to many android models for Apple to compete with not to mention that providers offer Android phones...good phones...for free. Apple cannot compete with free

[azure.sapphire]

They really don't need to introduce a new model. All they have to do is continue to do what they have been doing for the last few years: offer a last-gen model for a deeply discounted price. I don't really see them offering a smaller model, simply because the interface isn't designed for a smaller screen. Many apps simply wouldn't work right or would be more difficult to interact with. This type of rumor crops up just about every year, so I've begun to take it with a massive helping of salt.

It depends. I agree with you in theory, at least for now. However, the future of the wireless phone is not the $299+ price point that is typical with the high end model when offered with a two year contract. The wireless business is about to become really cut-throat. The new price point is going to be $99 or less with a two year contract once the influx of inexpensive phones that offer Android and WP7 begin to make their impact. Right now the Droid series and many WP7 devices are just as expensive, if not slightly more expensive than the iPhone.

This is going to change, and change very rapidly. The reason for this is that consumers are going to begin wanting a standard, and more importantly, the conventional/feature phone is dead. Most individuals now seem to want more than the ability to talk and send a text message. They want the ability to have a real web browser (relative) and a selection of applications. They want the ability to backup their phone. There will still be feature phone, but they will be offered by the likes of Net10, Tracfone, Straight Talk, maybe Virgin Mobile and to a much lesser degree by the big carriers (but they will be put on the back burner). I give this transition two years at most.

I believe that Apple sees this. What I don't know is whether they have a viable solution. Selling people the last model of their phone, makes people feel a bit cheap (i.e. poor, lesser). That is not really the message that you want to give consumers. Further, it keeps outdated hardware on the market longer. I think Apple right now would prefer if the 3G and 3GS never existed. The real solution seems to be in offer another type of phone... a mix between a feature phone and a smartphone, though with most of the smart features, but different enough to warrant a different market.

Not to get into stereotyping, but the iPhone has been more of a success with men than women and adults over teens. The future phone might want to target teen girls, and to a lesser degree teen boys. I don't really agree with this type of campaigns, I find them degrading, but if they were to do so... this would be one way. It could essentially be the Virgin Mobile (iPhone Nano) to what is Sprint (iPhone).

Will believe it when I see it. Apple doesnt do cheap...never has. Besides, I kinda doubt it will even make a dent in Android sales. Still FAR to many android models for Apple to compete with not to mention that providers offer Android phones...good phones...for free. Apple cannot compete with free

They did and still do the iPod Nano and Shuffle. I will agree that they don't do inexpensive in their computers, but they do offer step downs in their digital devices. Hell, their next big device (AppleTV) is still only $99 and likely will only go down in price. The reason is because they are completely two different markets.

[Jan Veteran]

No they won't.

The end.

[HawkMan]

They did and still do the iPod Nano and Shuffle. I will agree that they don't do inexpensive in their computers, but they do offer step downs in their digital devices. Hell, their next big device (AppleTV) is still only $99 and likely will only go down in price. The reason is because they are completely two different markets.

The shuffle may be cheap compared to other apple PMP's. but if you look at other shuffle like devices, you can get almost identical players, with 2-4 times as much memory. for half or even a quarter of the price.

so the shuffle isn't really cheap for what it is either.

[Pharos]

Call me weird but I do not think iPhones are expensive at all compared to similar Android smartphones. And the iPhone 3GS costs $49 w/ a contract, I'd consider that a "budget iPhone" already.

[techbeck]

They did and still do the iPod Nano and Shuffle. I will agree that they don't do inexpensive in their computers, but they do offer step downs in their digital devices. Hell, their next big device (AppleTV) is still only $99 and likely will only go down in price. The reason is because they are completely two different markets.

They never did a cheap iPhone, so I doubt they will do that. They always have produced multiple models of iPods and cheaper iPods. Apple doesnt go from an expensive version, to a cheaper version.

Call me weird but I do not think iPhones are expensive at all compared to similar Android smartphones. And the iPhone 3GS costs $49 w/ a contract, I'd consider that a "budget iPhone" already.

But you get more features with Android phones from the start. Not to mention that a lot of phone providers offer Android phones free with a contract. T-Mobile today is offering every phone for free.

[Dom]

YES the iPhone Shuffle!!

You can still loads apps on to it but it doesn't have a screen, and when you want to make a phone call you shake it and it randomly selects a number from your phone book to dial.

It could however have a lot of potential benefits in a voice operation interface. "Open Angry Birds" "Fire 40 Degree Angle full power" *You have hit a wooden wall and knocked down several others injuring one Pig and Killing three more* **There are three Pigs remaining, you currently have loaded a blue Angry Bird**

YES YES!!!!!!!!!! Apple could release a voice operated text based phone adventure game for this kind of thing, they could call it an iMUD and since this has never been done before it will be the greatest invention since sliced bread (until apple invents the sliced iBread anyway)

So much untapped potential

I lolled.

[.Neo]

What they could do is have the 3Gs free with a contract, iPhone 4 for $99 (just like the 3Gs right now) and the new phone coming out at $199

I've been able to get the iPhone 3GS for free with a two-year contract for almost a year now.

They never did a cheap iPhone, so I doubt they will do that. They always have produced multiple models of iPods and cheaper iPods. Apple doesnt go from an expensive version, to a cheaper version.

Where are you getting your facts from? From 2001 till 2004 there was only one iPod model with different storage capacities. The situation back then wasn't any different from today's situation where you have one iPhone model with different capacities.

So what you're saying simply isn't true.