In the last few weeks, more information about a cheaper iPhone model has leaked, making it seem more likely that such a device exists. This variant of the Apple iPhone would be intended for emerging markets where consumers would rather not get tied up with a two-year pact. Buyers would have a wide variety of color options similar to what is available for the latest version of the Apple iPod touch. The latest report has the low-cost model being produced by Pegatron.
The Cupertino based manufacturer is expected to introduce the next iteration of the Apple iPhone late in the third quarter. For some time now, we have expected an incremental update for a model known as the Apple iPhone 5S, offering a faster A7 processor, an improved camera sensor, NFC support and a fingerprint scanner. With the new AirDrop feature in iOS 7, which allows iPhone owners in the same room to share files, videos and music wirelessly, perhaps NFC is not as necessary as it was thought to be before.
According to investment banking firm Credit Suisse, the low-cost version of the Apple iPhone could have 3G connectivity, 8GB of native storage, and would be priced off-contract at $329. It is not known if this model would be introduced and launched at the same time as the Apple iPhone 5S.
source: YouTube, Macotakara (translated) via AppleInsider