Reuters: Apple just weeks from launching iPhone 5, inexpensive iPhone 4 for growth markets

“Apple Inc. will release a cheaper iPhone 4 within weeks, jeopardizing profit margins to win lower-end customers from rivals such as Nokia in China and other emerging markets,” Clare Jim and Kelvin Soh report for Reuters.

“Asian suppliers have begun making a lower-cost version of the hot-selling smartphone with a smaller 8-gigabyte flash drive that will arrive around the same time Apple unveils its much-anticipated iPhone 5, two sources with knowledge of the matter told Reuters,” Jim and Soh report. “It is in talks with leading Chinese carriers China Mobile Ltd. and China Telecom Corp Ltd., both of which are eager to carry the device that defined the smartphone market when Apple launched it in 2007.”

Jim and Soh report, “In addition to the launch of the smaller iPhone 4, Apple is targeting an end-September launch for the next-generation iPhone 5, one source said, confirming earlier reports on Apple follower blogsites and industry websites… The new iPhone — which some call the iPhone 4S because of its largely identical appearance to the existing iPhone 4 — will have a bigger touch screen, better antenna and an 8-megapixel camera, one source said.”

Read more in the full article here.
 

[Thanks to MacDailyNews Reader “Fred Mertz” for the heads up.]

13 Comments

    1. Yeah, but look at the iPhone 3GS for example it’s gotten only mildly cheaper and half the memory of the base model at time of launch, but at least it’s still in the apple store and online just to get more sales/money but to appeal to the lower budget users who NEED a device sent from….CHINAAA!

  1. I wonder if they can get the price down just by going to 8 gb, no other changes. The iPhone 4 8 gb becomes ” last years model ” and the iPhone 5 is the new top dog.

  2. I will againbe accused of being nasty, but just look at how Reuters parses their news report. It is supposed to be news but they stress that a lower priced phone will jeopardize profits. If this was another company like amazon,Reuters will use adjectives like great, potential upside to revenues, blah blah blah.

    It looks like the shysters are trying to mitigate apple PPS rise in the next few weeks. Most news are saying that a late October release would mean a hit to iPhone sales. But,just in case apple releases within the next two weeks, it is a major hot to profit margins.

    1. You ain’t nasty- shysters are always trying to mitigate apple PPS.

      Apple’ strength and predictable rise despite the perpetual self serving FUD are the surest way for the gamblers to make money in today’s economy.

      1. foes patents mueller has a report out that apple has won an injunction of all galaxy smartphones in Europe. Do you think Reuters, WSJ, bloom, barrons will readily carry this. I doubt it. They are probably conjuring up negative scenarios for apple to play side by side.

  3. I need to learn the calendar to get how the story
    “Apple is targeting an end-September launch for the next-generation iPhone 5”

    translates into the August 24 headline
    “Apple just week from launching iPhone 5…”

    ??

  4. ROFL…
    “In addition to the launch of the smaller iPhone 4, Apple is targeting an end-September launch for the next-generation iPhone 5, one source said, confirming earlier reports on Apple follower blogsites and industry websites…

    Imagine that, Reuters is confirming reports from other blog sites. I could have done that…

  5. It’s not just going to be memory that goes away for a less expensive iPhone. The glass front, back and stainless steel has to go. There is no reason for such a “luxurious” facade for an econo-phone. I expect great design for the inexpensive iPhone, but it makes no sense to keep the glass and band. It would still be a great phone without it.

  6. The cost savings come from reduced component costs that don’t require a respin. Swapping flash capacity is a drop-in change. But it’s not cost-effective to make changes to the case or display.

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