Analysts: Low-cost Apple iPhone to be powered by Qualcomm Snapdragon processor

Analysts: Low-cost Apple iPhone to be powered by Qualcomm Snapdragon processor
Analysts at investment house Detwiler Fenton are doing their checks with suppliers and have found that Apple is working on a new product for the low end of the market that uses a Qualcomm Snapdragon processor. Detwiler Fenton's note to clients says that if this product is a low-cost version of the Apple iPhone, it would make sense for the gang at Cupertino to look to differentiate the premium version of its smartphone by not letting the lower priced model offer the same quality graphics, video and processing power that would be available on the higher priced model. In addition, using the Qualcomm processor could help Apple keep gross margins at a decent level. We know what can happen to Apple if margins contract.

Apple could save money by integrating three chips used in the current Apple iPhone 5 (Qualcomm modem, application processor and the Broadcom WiFi/Bluetooth chip) into one single chip which would save Apple some money. When dealing with a low-cost model, every penny saved in procuring parts adds up on the bottom line.

For Qualcomm, the use of a Snapdragon processor for a cheaper iPhone variant would be a big win for the company considering that its contribution to Apple's iconic smartphone has been limited to parts for the modem. The investment house says that an integrated chip for a low-cost Apple iPhone could mean $15 per unit into Qualcomm's coffers. That might considered found money by the chip maker considering that most Android and Windows Phone models are powered by a Qualcomm Snapdragon processor.

source: Forbes

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55 Comments

56. joey18

Posts: 698; Member since: Jul 20, 2010

the new iphone will call 5s and the cheap one the homeless phone

55. joey18

Posts: 698; Member since: Jul 20, 2010

who say the same story mini ipad but is overpriced apple will make iphone like the lg nexus same price i dont think so why old iphones still overpriced so the market share will continue go down bcs now is alot competition

52. vincent95

Posts: 17; Member since: May 19, 2012

Uh, low cost iPhone? They already have one, it's called the iPhone 4.

45. predator93

Posts: 122; Member since: Aug 28, 2012

I guess they will be using the cheap quadcore (MSM 8x26) since that could work well with Apple's Marketing talents.

44. jameshoe unregistered

iPhone vs. Galaxy vs. Lumia vs. One?

43. jameshoe unregistered

iPhone 5s /5m

39. MC1123

Posts: 1256; Member since: Nov 12, 2012

I don't think so... since all of the apps of apple are optimize on it's AX chips.. so might be A5 or A5X..because if they use different chips aside from its own, it will be a pain to devs..

32. networkdood

Posts: 6330; Member since: Mar 31, 2010

iphone Cheep - new name of low cost phone - 256k RAM, 2GB storage space, expandable to 2GB, scratchable all glass screen, breakable back plastic covering, 121 DPI screen quality.

24. InspectorGadget80 unregistered

analyst must be very bored this time around.

22. emadshiny

Posts: 1144; Member since: Dec 05, 2012

qualcomm is much better than exynos. qualcomm's duals can defeat exynos quads easily.

25. umadd

Posts: 40; Member since: Jan 25, 2013

COMPLETELY WRONG. Qualcomm dual is terrible. Exynos quad complete dominates it. Exynos dual a15 annihilates Qualcomm. Even Apple's A6 beats sloppy Qualcomm. Stay buttmad

28. umadd

Posts: 40; Member since: Jan 25, 2013

On top of that, it's hilarious how Qualcomm used to poke fun at Exynos and Tegra saying their processors don't overheat and are more efficient yet their quad core needs to be put in a freezer to run at its full extent and have terrible efficiency LOL

30. ahhxd717

Posts: 332; Member since: Dec 08, 2011

How is a dual core Krait S4 terrible? It powers most high end phones of 2012, and also the beloved S3, which powers it just fine. And Quad core Krait is obviously even better. And as far as power efficiency, I think Krait is actually good.

34. umadd

Posts: 40; Member since: Jan 25, 2013

You must be blind. The S4 pro is absolutely TERRIBLE at power efficiency. On top of that, it can't even handle the display on the HTC Droid DNA.

38. PhoneArenaUser

Posts: 5498; Member since: Aug 05, 2011

"On top of that, it can't even handle the display on the HTC Droid DNA." For example?

49. jbjr43

Posts: 50; Member since: Jun 12, 2012

Powers mine just fine. My DNA runs circles around my SGS 3. Battery life is better also.

27. techspace

Posts: 1037; Member since: Sep 03, 2012

actually, ios is optimized for apple a series processors, so even if they use a two year old a5 processor and 512 mb ram, it will run all the latest apps and games for years...and the device will also run very well.....and this is not the same thing with android, so even very powerful processors may not be enough,they will not run all the games after a period of time but seriously, i don't think apple needs a cheaper iphone, they should make a phablet like samsung......

21. techspace

Posts: 1037; Member since: Sep 03, 2012

now, i think they will use the a5 processor like the ipod touch and the ipad mini, but if they make a cheaper 4 inch phone, then what will happen to the ipod touch?, and talking about a 3.5 inch phone, they already have the iphone 4 which will receive the latest software updates for years, and they also have the ipod touch 4g (16 gb) for $199 so, the cheaper iphone will reduce the sales of the older iphones and the ipod touches, so it doesn't make sense...... I have seen that many people love 4 inch phones because they can be used with one hand, its a good size, but now its time to make a 6 inch phablet with a few widgets and a couple of live tiles on the same simple, refined UI, and a phablet does not require to be small enough to be used with one hand.......instead of making cheaper phones, they should sell the older phones for cheaper rates and concentrate on a phablet( it should start at $249 with a contract and $699 unlocked....to retain their profit margin) and after making an ipad mini with a6 and retina display, the older ipad mini should be sold for $279 they just can't make more money with a cheaper iphone

19. joey18

Posts: 698; Member since: Jul 20, 2010

iphone 4s still on the market over 400 is not cheap

23. techspace

Posts: 1037; Member since: Sep 03, 2012

in most of the countries, the iphone 4s is more expensive than the galaxy s3 and the galaxy note 2........its very expensive, they should make it cheaper

18. joey18

Posts: 698; Member since: Jul 20, 2010

cheap iphone same price lg nexus i dont think so apple sales overprice electronics mini ipad 329 asus nexus 199 mini ipad 229 real price this economic only rich people buy good stufff

17. wildcard

Posts: 65; Member since: Jan 15, 2013

ha ha ha the apple fan was saying their will never never use a qualcomm chip on their device reason was that is much better wiz the A5 an the A6 chips but their did not know thoses chip was made by Samsung or their know about it but the apple fan denied it an look it now eating those word take that apple fan

16. XPERIA-KNIGHT unregistered

you guys really dont get it do you? if apple has roamed this far into "android land" then you can take a WILLLLLLD guess where they are heading next..... hint......hint..........change of UI..............maybe?...... to look more like android.........maybe? meanwhile be on the look out for samsung to look more and more like ios and the iphone....lol

37. umadd

Posts: 40; Member since: Jan 25, 2013

That's ironic, considering majority of the xperia series looks like the Galaxy S2. Get off the internet and go play your PS3, which is the reason why you even worship Sony anyways lmao

40. FireDragon

Posts: 117; Member since: Nov 13, 2009

I normally skip reading into anything "Apple" but for some reason I get in here. Anyway Can you name one Xperia, or any Sony (Ericsson) handset that remotely looks any other, and I mean ANY OTHER device out there? Unless that other device is following what Sony (Ericsson) did with the design.

47. SleepingOz unregistered

"more and more like ios and the apple"? How? Rounded square icons? No surprise though, Samsung has bring multitasking on Android to a whole different level, with system apps like Multi-Windows, S-Planner, S-Note, Pop-up Play, Pop-up browser, Pop-up note and Smart features like Smart Stay and Smart Rotation. Samsung is the only OEM that actually innovates both in hardware and software department. No wonder why Touchwiz UX is the most popular and most appreciated Android OEM custom framework among the devs on XDA. It's even considered to be superior to AOSP. But seriously dude, why are you so obssessed with Samsung? I know they're the one of best if not the best, according to nearly every tech sites but your fanboyism is irrational and a lil bit too far. You must have some kind of serious mental afflictions. You can't even write a single comment without mentioning Samsung. Try Yoga bro! According to rumours, it helps. Btw, you know what they said; "Hatred and jealousy are just confused admiration.". =]

15. champ_vl

Posts: 44; Member since: Aug 31, 2012

I've just about had it with these analysts coming up with their stupid theories and predictions especially about Apple !! For Apple switching to another type of chip maker and architecture doesn't make a lot of sense. Why?? Because all their iPhones ar made on the Cortex ARM (which until recently were provided by Samsung) especially their own custom SoC found on the 4S and 5, and the entire iOS is designed to run on these chips. If you don't have any idea what I'm talking (just like these analysts) then you won't understand what I am saying. But I know I'm right.

26. umadd

Posts: 40; Member since: Jan 25, 2013

Oh, and you think you're better than these analysts? How come you're not an analyst yourself? Want to know why? Because you can't. Because you don't know ANYTHING more than these analysts.

29. champ_vl

Posts: 44; Member since: Aug 31, 2012

Wow nice reply there kid...stay in school and don't do drugs. Oh and...let the grownups do the talking next time.

31. darkkjedii

Posts: 31812; Member since: Feb 05, 2011

Good comeback. U made him look weak by not going ballistic on him.

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