The Case for a New Lower-Cost iPhone

Daring Fireball:

All told, I think Apple could build and sell an iPod Touch-caliber iPhone 5C for $399, possibly as low as $349.

A great article from John that outlines his ideas on Apple’s strategy for the upcoming iPhone refresh in September. Essentially, they’d abandon their previous tactic of keeping last year’s model in favour of an all-5 attack; the high-end iPhone ‘5S’, the mid-range iPhone 5 and a lower-cost iPhone ‘5C’.

This sounds like the most plausible idea for the new iPhone I’ve heard so far.

I think if Apple were able to hit those price points, it could really shake up the telco market; particularly for contracts in the $50-70 per month range. I know lots of people who accept a more expensive plan than what they need, simply because they want an iPhone and that’s the easiest way to get one.

Who’d want to go on an expensive monthly contract for a phone that only costs AUD$400-450 outright, and is available in tons of retail locations, including Apple’s own beefed-up Australian presence?

It could be very disruptive.

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