Cheap plastic iPhone coming to market
A just-released report confirms that Apple is indeed working on a cheaper, plastic iPhone to be released this fall. According to a New York based labour rights organisation named China Labor Watch, the new phone is currently in production and will be called the iPhone 5(C).
The iPhone 5(C) is expected to be a stripped down version of the standard iPhone with a plastic cover and a significantly lower retail price. The calculation is simple: producing a cheaper iPhone will allow more people in the world to own one.
Competition has become a larger concern of Apple’s in recent years as other smartphone manufacturers like Samsung have stepped up their game. The iPhone is more expensive than most other smartphones on the market, and consequently Apple has lost market share in emerging countries like China.
Prices for the new iPhone are predicted to be in the $299-$329 price range for unsubsidised purchasers. This is a significant reduction from the full price of an iPhone 5, currently around $650. Moreover, an iPhone 5(C) subsidised by upgrade trade-ins and other marketing deals could cost less than $100, and possibly even be free in some circumstances with a subscription.
This could be the first step in Apple diversifying its line of iPhones in order to stay competitive. If so, it would be following the same business model the company earlier pursued with iPods, which started out being only available in one basic model and ended up coming in all shapes and sizes and for a variety of prices.
A just-released report confirms that Apple is indeed working on a cheaper, plastic iPhone to be released this fall. According to a New York based labour rights organisation named China Labor Watch, the new phone is currently in production and will be called the iPhone 5(C). The iPhone 5(C) is expected to be a stripped down version of the standard iPhone with a plastic cover and a significantly lower retail price. The calculation is simple: producing a cheaper iPhone will allow more people in the world to own one. Competition has become a larger concern of Apple’s in recent years...
A just-released report confirms that Apple is indeed working on a cheaper, plastic iPhone to be released this fall. According to a New York based labour rights organisation named China Labor Watch, the new phone is currently in production and will be called the iPhone 5(C).
The iPhone 5(C) is expected to be a stripped down version of the standard iPhone with a plastic cover and a significantly lower retail price. The calculation is simple: producing a cheaper iPhone will allow more people in the world to own one.
Competition has become a larger concern of Apple’s in recent years as other smartphone manufacturers like Samsung have stepped up their game. The iPhone is more expensive than most other smartphones on the market, and consequently Apple has lost market share in emerging countries like China.
Prices for the new iPhone are predicted to be in the $299-$329 price range for unsubsidised purchasers. This is a significant reduction from the full price of an iPhone 5, currently around $650. Moreover, an iPhone 5(C) subsidised by upgrade trade-ins and other marketing deals could cost less than $100, and possibly even be free in some circumstances with a subscription.
This could be the first step in Apple diversifying its line of iPhones in order to stay competitive. If so, it would be following the same business model the company earlier pursued with iPods, which started out being only available in one basic model and ended up coming in all shapes and sizes and for a variety of prices.
