Apple is on the verge of announcing the latest iPhone 5 next week, and rumors suggest that the Cupertino-based smartphone maker will wave goodbye to its aging iPhone 3GS. If the iPhone 3GS is discontinued from Apple's smartphone lineup, then the iPhone 4 (8GB) will become Apple's entry-level offering and the iPhone 4S will sport the mid-level device title.

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The iPhone 3GS version was launched in June 2009 and sales reached over a million units in the first weekend alone. Since the iPhone 3GS is over three years old, it is incapable of keeping up with iFans' latest feature requirements, reports The Telegraph.  

"It would certainly not be a surprise for Apple to discontinue the iPhone 3GS in order to keep its iPhone family at three separate devices with the cheapest being offered for free on contract. Shifting the iPhone 4 into the position currently held by the iPhone 3GS would also give more carriers the ability to offer a free iPhone, as the iPhone 4 is available in both GSM and CDMA versions while the iPhone 3GS is only available as a GSM device," indicates MacRumors.

The much-awaited iPhone 5 is expected to be launched with 16/32/64 GB storage options. Packed with high-end features, Apple hopes that the new device will attract more consumers than its predecessors.

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