Bloomberg puts a price on the rumored affordable iPhone - $99 to $149

Bloomberg puts a price on the rumored affordable iPhone - $99 to $149
After a couple of analysts and more obscure blogs hinted that this year the elusive affordable iPhone might become a reality, yesterday the Wall Street Journal confirmed the story with its own sources, and today the other business publication behemoth Bloomberg adds some more detail from "a person familiar with the plans."

The idea for a more affordable iPhone has been seriously considered and started to be worked on since February 2011, they say, which means that it has been anointed by Steve Jobs himself, and apparently Apple feels now is the right time to lock in more market share, as the industry is maturing and smartphones get commoditized quickly.

Bloomberg rehashes the WSJ claim that the cheaper iPhone will use existing parts, but says it might be smaller than the current Cupertino flagship. The idea is apparently for the phone to be built from the ground-up with a good value-for-money ratio, instead of just slashing the price of existing models upon introduction of the new one.

And the price would be? Bloomberg pegs it at $99-$149 at retail, which is really something we have to see to believe. The goal is also for the phone to be able to work on as broad a range of carrier networks as possible, and Apple has been in talks with at least one US carrier about it, the source divulged. Those rumors about multi-colored iPhones in the making now make much more sense, too.

Something is definitely brewing with the iPhone franchise this year, and late 2013 should be the earliest time to watch for a more affordable iPhone to infiltrate the market, if Bloomberg's story ultimately holds water. Tim Cook was spotted in China lately, and that is one huge market for an affordable iPhone to make inroads and soak market share like a sponge

source: Bloomberg

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29 Comments

1. chasetorres125

Posts: 22; Member since: Jan 07, 2013

Impossible not that low,i think guess 350-399$ there now thats close to the truth

6. MeoCao unregistered

for $150 you can buy 5 connectors from Apple. And iPhone is very simple phone, so beside material what Apple can trim to reduce the cost? Not much I guess. So the chance is new phone will cannibalize iPhone sales as Apple will never be able to compete with host of Android OEMs in choice and price.

15. Aeires unregistered

Apple makes $94 profit on each 16 gigs of memory. Apple can make a cheaper phone, question is, would they?

19. MeoCao unregistered

That's the point, Apple can't reduce the price much by cutting cost but they have to mostly reduce the profit. And there's negative effect on Apple brand as well. So the plan is risky for Apple.

23. Aeires unregistered

IMO, at this point Apple is more concerned about locking people into their ecosystem than what their brand image is. If a massive amount of people buy a cheap iPhone, then buy a lot of apps, they're as good as locked in as you get. Hard for people to jump ship when you're invested with app purchases.

28. MeoCao unregistered

for companies like Apple, the brand is almost everything. They can't afford to let new cheap phones to affect their brand.

18. Ninetysix

Posts: 2962; Member since: Oct 08, 2012

I'm curious. Which connectors?

20. MeoCao unregistered

Lightning connector

30. billybuttpounder

Posts: 105; Member since: Dec 28, 2012

Exactly what rock have you been under that you were completely ignorant to apple charging $30 for the lightning (LOL) adapter? I really am curious since every time I hear apple news I just want to take a giant sh*t, and would love to live under your rock.

24. rf1975

Posts: 264; Member since: Aug 01, 2011

Even for that price I am seriously doubt this going to happened.

2. Sangeet

Posts: 232; Member since: Apr 21, 2012

Yet another Rumor..!!

3. RaKithAPeiRiZ

Posts: 1488; Member since: Dec 29, 2011

its the 3GS .....

31. billybuttpounder

Posts: 105; Member since: Dec 28, 2012

Doubtful, the 3GS STILL goes for $599 or $499 unactivated. Hell, the 8GBs of memory alone are "worth" $100 according to apples pricing scheme-I mean structure.

4. timtimity

Posts: 196; Member since: Aug 13, 2012

Sorry if this sounds dumb, but when US sources refer to costs like this are they referring to the cost of the phone unlocked or on contract? In the UK virtually every phone (including the S3 and Note 2) are available for free on contract, usually with a relatively low tariff cost.

7. Hemlocke unregistered

This is an in subsidized price, and it would be the same, taking currency exchange rates into account, everywhere.

5. QWIKSTRIKE

Posts: 1459; Member since: Mar 09, 2010

The problem really isn't price in my opinion its style.....no bells and whistle lower priced iPhone or a bell and whistle Android or windows phone.

8. cripton805

Posts: 1485; Member since: Mar 18, 2012

If its $149, might as well get the more powerful bigger brother or a better cheaper Android. $99 or cheaper would be about right.

9. Robert235

Posts: 70; Member since: May 30, 2010

affordable iphone ,that means hell had freeze over.

10. loganryan

Posts: 8; Member since: Jan 08, 2013

Iphone is known for its premium quality.and doesnt matter how costly it is ,it always selling like hot cake and apple making a lot of profit,i dont see why apple wanna change this trend,

11. kamejoko

Posts: 248; Member since: Nov 10, 2011

$99-$149 with 2 year contract

12. Sharky

Posts: 259; Member since: Jun 24, 2008

Something had to get lost between the reporter and the source. There's no way that a cheaper iPhone will actually retail between $99-149. That must be an on contract price. Just consider that the iPod nano costs $139. Even the 4th gen iPod touch costs $199. But I certainly wouldn't complain if Apple accomplished that price point off contract.

14. timtimity

Posts: 196; Member since: Aug 13, 2012

I think you're right. If Apple do release an iPhone at this price it'll have a knock on effect across a lot of their products. I can't see Apple wanting to reduce the price of their iPods too.

13. fanboy1974

Posts: 1345; Member since: Nov 12, 2011

This is going to be one crappy phone if that's retail pricing. Especially if Apple is selling the latest ipod touch at $300.

16. jsoliz1985

Posts: 24; Member since: Dec 08, 2011

With T-Mobile being so adamant about not wanting to subsidize so much going forward and their plans to sell the iPhone soon it makes sense for Apple to provide a less expensive option, not to mention the lucrative possibilites in emerging markets the world over.

25. networkdood

Posts: 6330; Member since: Mar 31, 2010

It will have 4GB of data storage, 256MB RAM, 256Mhz processor, 3.2 inch screen, screen resolution of 112ppi.

26. jimjam unregistered

If you have to get a contract it isn't "affordable"

32. billybuttpounder

Posts: 105; Member since: Dec 28, 2012

If you can'y afford a contract rethink your life and the decisions you've made.

27. MC1123

Posts: 1256; Member since: Nov 12, 2012

there's actually a cheaper iphone called the iphone 3gs... why wont apple do some tweaking on it? run it on a dual core CPU.. coz i feel like a plastic iphone is just a joke! the sad thing is that all steve jobs words are no more... for example, no 7" tablet version of the iPad, but now apple release ipad Mini!

29. billybuttpounder

Posts: 105; Member since: Dec 28, 2012

Analysts are a joke and here's proof: apple just annaounced a "new" iFlash (barf) drive with 8GB of memory. The price? $99 USD. $99 for 8GB. 8GB = $99. No way in hell are they going to sell a phone for under $400 unactivated. Never happen.

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