A few years ago, when the iPhone first launched, the price was an astonishing $629 with a two year contract. However, as the years progressed, the price of a subsidized iPhone dropped to $49 (for the 3GS). A new report out today suggests that Apple is developing an iPhone that they want to price at free (with a two-year contract).
The new report also suggests that there are two iPhones in development at Apple, the iPhone 5 and the 4GS. The iPhone 5 is supposed to be a big leap, boasting features like the dual-core A5 chip, thinner and lighter design and is to remain at the $200 price-point.
However, the iPhone 4GS, is rumored to be less of a substantial change. Think the current iPhone 4 with an A5 (and a price point of $0). Both of these devices will run on Qualcomm’s “Gobi” chip, allowing for use on both CDMA and GSM networks (Verizon and AT&T, respectively).
The main feature of this new “iCloud iPhone” is how well the device will interact with the cloud at a price that is unbeatable. In fact, the only way this could get better is if they payed you to buy the phone (I don’t think the stock holders would like that).
Apple also warned investors in a previous earnings call that profit margins may drop due to a new generation of devices which will have more features and cost a few more dollars to build, but remain at the same price point as the current line-up.
Would you guys take advantage of the free ‘iCloud iPhone’, or would you go for its $200 brother? Let us know in the comments below