Apple will bring out a budget iPhone to battle Android

[+ir0nw0lf Subscriber²]

LOL, never thought I would read Apple + (budget,cheap,poor man's) all in the same post! Surely this would be a sign of an impending apocalypse? (that or someone at Apple might have hit their head and gone delusional...) I'll believe this as soon as a truly inexpensive Mac notebook comes out.

[techbeck]

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.

My bad...was not really looking at apple stuff back then....but I still doubt they will produce a cheaper phone. Even if they did, it will not impact Android sales at all...or at least not by much. Android phone revisions come out all the time, more android phone models, and still more providers which sell androids.

[.Neo]

Android is pretty much becoming the Windows of the phone world, so unless Apple changes their strategy and open up iOS they will always end up with a smaller market share. But we all know that won't happen.

I can see them bringing out a second iPhone model, simply for the same reason they have different iPod models.

[TheLegendOfMart]

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.

It is in the UK if you dont want to be paying ?35-40 a month. On a ?25 a month tarrif you have to pay ?305 for the iphone. I could get Desire HD for free on a ?20 a month tarrif. The PAYG iPhone 4 is ?510. Silly money.

[Shadrack]

The iPhone is pretty damn small already.

[Southern Patriot]

The $99 phone was one way to do it but if they can do it cheaper it would be better

AT&T is already selling the 3Gs for $49 with a 2 year contract. I could see that going to $0 once the next model of iPhone comes out, and then pricing the iPhone 4 at $99.

[Southern Patriot]

It is in the UK if you dont want to be paying ?35-40 a month. On a ?25 a month tarrif you have to pay ?305 for the iphone. I could get Desire HD for free on a ?20 a month tarrif. The PAYG iPhone 4 is ?510. Silly money.

That situation is entirely due to your carriers, not Apple. The cost to them for an iPhone 4 or a Desire HD is probably roughly the same.

[iamawesomewicked]

I guess people didn't see the link. "The Inquirer"

[Gabureiru]

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

Because it wouldn't generate revenue for Apple or phone companies. They "have" to make another product, for hype and to sell something else that isn't out there already.

[Growled Member]

I might believe a smaller phone coming from Apple but I don't believe the cheaper bit. That's not Apple's way.

[HawkMan]

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

2 year contracts are such scams. I'm glad they're not allowed to offer consumers more than 12 month contracts here. and always with a buy out clause. Tying up something small like a phone for 2 years is ridiculous.

[Rudy]

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

Unfortunately not in Canada :( http://www.rogers.com/web/link/wirelessBuyFlow?forwardTo=PhoneThenPlan&productType=normal&N=52+11+4294967107

$99 for an iPhone 3Gs with a 3 year contract :blink:

[Southern Patriot]

2 year contracts are such scams. I'm glad they're not allowed to offer consumers more than 12 month contracts here. and always with a buy out clause. Tying up something small like a phone for 2 years is ridiculous.

Maybe, but most people here in the US simply aren't willing to pay $500-800 or more up front for a phone. That is usually an option here (with some carriers), but one that very few people actually take advantage of.

[TheLegendOfMart]

That situation is entirely due to your carriers, not Apple. The cost to them for an iPhone 4 or a Desire HD is probably roughly the same.

Dont get me wrong im not blaming Apple, just pointing out the iPhone is hardly cheap :)

[Southern Patriot]

Dont get me wrong im not blaming Apple, just pointing out the iPhone is hardly cheap :)

I know, but neither is the Desire HD or any other high end smartphone. Your carrier makes the DHD seem cheap in comparision, but as I stated, the cost to them is probably about the same. They have, for whatever reason, decided to tie certain phones to certain plans. Here in the US for example, AT&T (although the same can be said for pretty much any carrier) has essentially the same pricing for any smartphone plan, no matter what phone you want to go with. They don't charge more for the same plan on an iPhone than they do for a Blackberry, Windows Phone, or Android phone. The phones are simply priced by their cost minus whatever subsidies they give you for signing a 2 year contract (I'm guessing the subsidy is about $350 since that is the starting point for the early termination fee for smartphones, if you were to cancel the contract as soon as you got the phone).

[TheBlueRaja]

I don't want to sound fanboyish but it may come across that way, however, if Apples current expensive model cant match the features of something like a HTC Desire which can be had for much less, how is a cut down version going to match what's available from the likes of HTC etc?

Saying that though, with Apple i suspect people buy for the designer name, not the feature set, a bit like BMW's or B&O etc, in which case anything's possible? But then designer names don't bring out cheap goods usually.

[FloatingFatMan]

AT&T is already selling the 3Gs for $49 with a 2 year contract. I could see that going to $0 once the next model of iPhone comes out, and then pricing the iPhone 4 at $99.

And just how many people want an obsolete model? You can get the latest and greatest Android device, on contract, for about ?25-?35 a month, with the phone itself for ?0.

Who the hell wants to pay $49 for old model, when you can have latest, higher spec, for nothing?

[HawkMan]

Maybe, but most people here in the US simply aren't willing to pay $500-800 or more up front for a phone. That is usually an option here (with some carriers), but one that very few people actually take advantage of.

the funny thing is, that since we're restricted to 1 year contracts, we tend to get similar prices on those as others get on years.

[Singh400]

Don't see how they can do this, they would struggle to get this off the ground IMO.

[Kirkburn]

The iPhone is pretty damn small already.

Is size relevant here? Besides, no its not. Women's clothes do not generally have large pockets (and don't always want to use a handbag), and the iPhone is not an easy fit. (This is hardly an issue restricted to the iPhone though).

[Davo]

If they did, it would just be severly gimped to the point that it wouldn't technically be budget anymore.

[Southern Patriot]

And just how many people want an obsolete model?

Maybe the same people who would want the phone they are describing in the article, one with less features but costing less money. How is that really any different from buying a last-gen model?

[DiamondFootprint]

We have heard all this before? When the 4 was just about to be announced and the 3GS.

Doubt it would happen.

[Subject Delta]

That situation is entirely due to your carriers, not Apple. The cost to them for an iPhone 4 or a Desire HD is probably roughly the same.

32GB iPhone 4: ?599

HTC Desire HD: ?449.95

Pay as you go prices, taken from carphonewarehouse.com

That's a price difference of ?140.05

Like it or lump it, the facts disagree with you, Apple phones are overpriced.

[DiamondFootprint]

32GB iPhone 4: ?599

HTC Desire HD: ?449.95

Pay as you go prices, taken from carphonewarehouse.com

That's a price difference of ?140.05

Like it or lump it, the facts disagree with you, Apple phones are overpriced.

Pay as you go is slightly different as certain handsets aren't subsidized by the the networks.

iPhone's are always going to be expensive, much like their Macs, they have a target market.