I'll believe the cheep iphone stories when I see the product, but as of now 
it's just noise.  Remember the big roomer about apple coming out with AMD based 
computers for half to 2/3 the price of the current lines?  That never happened. 
 The cheep IPhone isn't on the way.

Your business executive was right though,  in another 3 years the flip phone 
will be a thing of the past.  market research shows that over 50 per sent of 
the cell phones in the world are now smart phones as of about 2011.  As the 
flip phones end of life they are being replaced with smart phones, in part 
because people are doing away with the personal computer as well.  In 2016 the 
personal computer goes on the longtale and a significant market share will be 
doing business completely on smartphones or tablets.

Best,

Erik Burggraaf
Follow my series of articles about setting up a small business through the 
ontario disability support program at http://www.erik-burggraaf.com/blog
Ebony Consulting toll-free: 1-888-255-5194
or on the web at http://www.erik-burggraaf.com

On 2013-02-17, at 11:19 PM, Christopher Chaltain <chalt...@gmail.com> wrote:

> Well, this is just a rumor, but from the rumors I've read, they wouldn't
> be replacing the current iPhone with a cheaper phone, but rather just
> coming out with a new less expensive phone in addition to their current
> phone to capture more of the low end market. I'm not sure which cell
> phone executive it was, but someone said recently they they thought all
> phones would be smart phones before too long. If that's true then it
> might make sense for Apple to get in on that market where cheaper smart
> phones replace feature phones. I haven't heard Apple do anything but
> deny this rumor. On one hand it makes sense, but on the other hand, how
> much would a cheaper iPhone cut into their current iPhone sales. That
> might give Apple pause since they make so much money on their current
> iPhone offerings.
> 
> On 17/02/13 17:52, James Mannion wrote:
>> Who knows for sure what Apple will do, but some seem entirely
>> convinced of these rumours out there. I even heard it said yesterday
>> on TWIT that they believe Apple's market going forward is "cheap IOS
>> devices." I sure hope not! Fine if they come out with a cheap IPhone
>> as an alternative, but I truly hope they do not make the new IPhone a
>> cheap piece of plastic with cheap electronics to sell it cheap. I know
>> the large share of the market wants cheap crap, but Apple makes
>> amazing profits on what they currently sell, they sell millions of
>> them and some of us want to buy a quality product. These people have
>> enough cheap crap options, they do not have to take our quality
>> product away from us so they can have a piece of crap called an
>> Iphone. Get your crap out of your breakfast box as you have been if
>> you are one of those people and leave us alone is my opinion!
>> 
>> On 2/16/13, Christopher Chaltain <chalt...@gmail.com> wrote:
>>> I can't speak to the validity of these rumours, but there are always
>>> rumours swirling around about Apple coming out with a lower end/cheaper
>>> iPhoen, especially for specific geographic markets. I doubt they would
>>> do this unless they start losing market share to other smart phone
>>> providers.
>>> 
>>> On 16/02/13 08:25, Sieghard Weitzel wrote:
>>>> Hi Dave,
>>>> 
>>>> 
>>>> 
>>>> I highly doubt that at least in the short to medium term Apple will
>>>> suddenly start to sell a new iPhone for $399 or $499. Apple is one of
>>>> the few companies who is actually making a good margin on their products
>>>> meaning unlike Amazon which basically gives a Kindle Fire away at cost
>>>> or even below cost to get people to use their service, Apple sells the
>>>> iPad at a price where they make money. Keep in mind that if they sold an
>>>> iPhone for a greatly reduced price, people would no longer buy an iPod
>>>> Touch and would expect iPad and iPad Mini prices to come down as well. I
>>>> somehow don’t forsee any changes in how big carriers do business and
>>>> believe they will continue to offer contracts and subsidized phones.
>>>> Keep in mind that a carrier like the one mentioned may offer an
>>>> unlimited plan for $49 with no contract, but they will not give you a 16
>>>> Gb iPhone 5 for $199, instead you have to pay $649 and buy one at full
>>>> price. The math is easy: Over 2 years you spend 24 month times $49 a
>>>> month = $1,176 + $649 for the iPhone which means a total of $1,825.
>>>> 
>>>> Now assume you are on contract and spend $80 a month, the total is 24
>>>> times $80 = $1,920 + $199 for the phone = $2,119.
>>>> 
>>>> So, yes, the contract does cost you $294 more over 2 years given you do
>>>> actually have a $80 plan, if you find one that is $70 which maybe gives
>>>> you 2 Gig of data and limited voice, but maybe it’s all you need then
>>>> the total would be $1,879 over 2 years which is only $64 more. For many
>>>> people it’s easier to spend an extra $20 or $30 a months without having
>>>> to come up with the high upfront cost. It’s really no different than any
>>>> sort of financing, people buy all sorts of stuff they probably shouldn’t
>>>> because they really don’t have the money so they finance it and pay
>>>> every month and in the end if you add it all up you pay hundreds or even
>>>> thousands more than had you saved up the money to buy an item outright.
>>>> 
>>>> And what I haven’t even thrown into the calculation is the fact that no
>>>> matter if you buy the phone outright or on contract, it’s worth the same
>>>> at the end of the 24 months if you sell it. However, if you paid $650
>>>> for the phone, you are maybe more inclined to keep it for another year
>>>> or so because you spend all that money for it and you would have to
>>>> again spend the same to get a new phone. If you only paid $200 for it,
>>>> you can probably sell it for that or very close to that since you can
>>>> ask for an official unlock which makes it easy to sell the phone. Then
>>>> your new phone is basically paid for by the old one.
>>>> 
>>>> I had bought both my iPhone 4 and 4S unlocked directly from Apple since
>>>> here in Canada you can do this and you can get it right away at the
>>>> release date in that way. However, now carriers here have to unlock your
>>>> phone after 90 days and I think I heard this maybe changing to 30 days.
>>>> This takes away one reason to buy an unlocked phone at full price which
>>>> is the fact that if you travel and want to put in somebody elses SIM you
>>>> have to have an unlocked phone. I think it makes sense and actually
>>>> don’t see why carriers lock their phone at all, after all, the fact that
>>>> they have to let you unlock it doesn’t mean you can get out of the
>>>> contract. If you do that you still have to pay out the contract which
>>>> menas essentially that you have to pay them back the amount they
>>>> subsidized your phone for.
>>>> 
>>>> 
>>>> 
>>>> 
>>>> 
>>>> Regards,
>>>> 
>>>> Sieghard
>>>> 
>>>> 
>>>> 
>>>> *From:*viphone@googlegroups.com [mailto:viphone@googlegroups.com] *On
>>>> Behalf Of *Dave Baker
>>>> *Sent:* Saturday, February 16, 2013 1:34 AM
>>>> *To:* viphone@googlegroups.com
>>>> *Subject:* Re: A great new carier for your iPhone: unlimited everything
>>>> $49 per month!
>>>> 
>>>> 
>>>> 
>>>>    Awesome, so they do this without a contract also. And they take
>>>>    money off your bill when you get friends to sign up? I'm just glad
>>>>    to see competition in the contract-free unlimited-data mobile space.
>>>>    I especially think this is important for us using these recognition
>>>>    and GPS apps. I rarely talk using my phone, but with family members
>>>>    deployed in the Armed Services, i find it nice if they want to call
>>>>    and can't use Skype for whatever reason, I don't have to worry about
>>>>    it. Personally, I think there'll be a time when carriers find it in
>>>>    their best business interest to ditch the contracts, and handset
>>>>    manufacturers, including Apple, will find ways to bring costs down
>>>>    without the subsidies.
>>>> 
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>>> 
>>> --
>>> Christopher (CJ)
>>> chaltain at Gmail
>>> 
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>> 
> 
> -- 
> Christopher (CJ)
> chaltain at Gmail
> 
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