It’s almost the end of summer, and that means one thing: the new iPhone. And, like every year, rumors and leaked photographs are giving us hints as to what Apple has planned for the next smart device. While the upcoming iPhone update is going to bring the standard increases in processing power, battery life and more, there is a very interesting and unique rumor floating around that looks like it may be true.
For a couple years, many analysts have wondered if Apple is going to release a less expensive version of the iPhone to compete with cheap Android smartphones. Android smartphones are often given away very inexpensively or for free to customers signing a new cell contract. In contrast, an iPhone starts at around $200 for a new device.
About a year ago, consumers were given the option to buy old or last generation iPhones with their contract at decreased prices. However, a new rumor about plastic, cheap iPhones could change all that.
Here is how a cheap iPhone could dramatically change the smartphone wars and shift the power in Apple’s favor even more.
More iOS devices
A less expensive iPhone needs more people choosing iPhone. Instead of being forced to pay $200 upfront for the latest model, customers can get the latest model for what may be free with the new contract. Pricing is obviously still to be determined, but it is expected the plastic iPhone will cost much less. This means more people using iOS devices, further increasing iOS market share. Even though Android devices are currently used more than iPhones, the balance could change and give Apple even more market power to the party has with his cheap device.
The Premium iPhone
By creating a cheap iPhone, Apple is positioning itself to start releasing premium iPhones. This could be something along the lines of the Mac Pro when compared to the MacBook. If the cheap, plastic iPhone becomes the standard, the current-generation iPhone could be upgraded just a little and then be sold as a premium device. This, of course, could help Apple move back to its former culture of appealing to mostly elite customers – those that “Think Different” and are willing to pay a premium for their Apple gadgets.
Weaker Branding
On the other hand, flooding the market with cheap iPhones could change how Apple products are perceived. Right now, Apple has a reputation for producing the highest quality consumer tech products. Even if they are not the fastest or have the most screen space, Apple products are generally recognized to have a great production quality and value.
The cheap iPhone, however, could change all that for the worse. Apple’s brand could be hurt. Many bashed the iPad Mini as a way to cash in on trends instead of set them (as Apple has traditionally done in the past). A cheap iPhone could be cerceived in the same way.
Even Cheaper Android Phones
Part of the appeal for Android phones is that they are inexpensive. If Apple lowers the cost for their iPhone, it’s possible more cheap Android phones will be produced. There are already many, many options for customers wanting an inexpensive Android device, but a cheap iPhone could mean much more.
Rumor, or Industry Shaking Fact?
Whether or not the purported leaked photographs of the new cheap iPhones are real will be revealed to the public in just a couple months when Apple announces its new devices. However, until then, rumors and speculation will continue to fly. Is the new, less expensive iPhone real? And if so, how will they changed the smart phone market? We’re all about to find out.
