The rumors of the low-cost or budget iPhone refuse to die down. RBC Capital Markets analyst Amit Daryanani has released a new research report, which predicts that Apple will launch both iPhone 5S and a low-cost iPhone in June or July.
Daryanani has based his research report on supply chain checks.
Daryanani claims that the low-cost iPhone will come with a 4-inch display, but will have a plastic casing and no retina display.
Our supply-chain checks indicate that AAPL is working to launch multiple new phones in the June/July time-frame this year. Specifically, AAPL will launch the iPhone5s and a more affordable but lower-end iPhone at the same time, in either late CYQ2 or early Q3. The low-end iPhone will have the same 4″ form factor as the iPhone5 but will have plastic casing and no retina display. With a lower price-point, AAPL will be able to target a growing and important part of the Smartphone market (sub-$400 price-band).
While we’ve heard about the possibility of the budget iPhone coming in a plastic casing to keep the costs down, it’s the first time we’re hearing the possibility of the phone coming with a non-Retina Display. As Eric Slivka of MacRumors rightly points out, it was only yesterday that Apple informed developers that apps that don’t support Retina Display will be rejected from May 1st, so it seems very unlikely that Apple will launch an iPhone without Retina Display.
According to rumors, the factory unlocked budget iPhone is expected to be priced at $250-$350.
Meanwhile, the next generation iPhone, which has been dubbed iPhone 5S, is expected to look like the iPhone 5 but come with improved internals such as Apple’s faster A series chip, improved camera etc.