Rumors of a low-cost Apple iPhone has been in the news for quite some time, which could prove Apple is truly serious about competing on this front. A new report has surfaced claiming Apple suppliers are already shipping large number of iPhone parts, which points to a release date that could be announced at any time.
It is understood that Taiwan Semiconductor Manufacturing is providing Apple with 28 nanometer processors, though it is not known if these processors are of the dual core or quad core variety. Since this is a low-cost iPhone, we're thinking dual core, but then again, there are affordable quad core processor Android devices on the market, so anything is possible.
Furthermore, Largan Precision is reportedly handling the device's 8-megapixel camera, while suppliers such as Foxconn, Taiflex Scientific, Texas Instruments and Chipbond are said to be shipping large number of parts for the device. Potential buyers should expect the low-cost iPhone to come equipped with the same 4-inch display as the iPhone 5, and according to a recent report, the device could launch in various colors.
Apple could sell the low-cost iPhone for $399 without a service plan, according to Apple Insider. Such a move would not negatively affect Apple's gross margins, but how much of a positive effect it will have, is not yet known.
An affordable iPhone could prove to be steal for consumers who wanted an iPhone in the past but were unable to afford one at the premium price point or unwilling to enter into a 2-year contract with a carrier to get a subsidized iPhone. The low-cost smartphone could become available by the second half of 2013.
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