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Old Mar 18, 2014, 10:15 AM   #1
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8 GB iPhone 5c Intended to Boost Mid-Tier Markets Where LTE Is Growing




With today's launch of a new 8 GB iPhone 5c, much discussion has been centered around the observation that the new model is available in only a handful of countries: the UK, France, Germany, Australia, and China. In a statement to Re/code, Apple reveals that its strategy is to offer a lower-cost option that is compatible with LTE networks in countries where those networks are seeing rapid growth.
Quote:
"The mid-tier iPhone segment is growing year-over-year and the 8GB model provides a more affordable option for markets where LTE is becoming more established," an Apple representative told Re/code. The iPhone 5c, unlike the iPhone 4s, which is also still sold, supports LTE networks.
The report notes that Apple may prefer not to sell the 8 GB iPhone 5c in the United States because of the popularity of subsidized phones, which sees the 16 GB model being offered for $99 or even less on a two-year contract. There are, however, plenty of other countries where subsidies are not common and where Apple has elected not to offer the new 8 GB model. The business model is even changing in the United States, where T-Mobile has led a charge to decouple device pricing from service plans. Under the new models, carriers are offering interest-free payment plans on devices and charging users separately for their service.

Article Link: 8 GB iPhone 5c Intended to Boost Mid-Tier Markets Where LTE Is Growing
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Old Mar 18, 2014, 10:17 AM   #2
Lapidus
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So where is the 128gb version for countries with a poor internet connection?
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Old Mar 18, 2014, 10:18 AM   #3
brandscill
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Dropping the price to 349 where the 4S is and ditching the 4S would be the best move.
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Old Mar 18, 2014, 10:19 AM   #4
YanniDepp
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At 429, it's only 40 cheaper than the 16GB iPhone 5C.

That's $710 to our American friends.
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Old Mar 18, 2014, 10:19 AM   #5
jarred125
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Cuz you know .. memory is so expensive!
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Old Mar 18, 2014, 10:19 AM   #6
slu
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This is getting very crazy. What happened to simple? And still too expensive. Until Apple hits a $350 unsubsidized price point, I won't be back. Even at 8 GBs, I would have stayed with iPhone instead of switching to Android a year ago.

And how much is a Nexus 5 in the UK? That has LTE...
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Old Mar 18, 2014, 10:21 AM   #7
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Quote:
Originally Posted by YanniDepp View Post
At 429, it's only 40 cheaper than the 16GB iPhone 5C.

That's $710 to our American friends.
Not quite, we always pay way more s than a straight currency conversion for Apple products. Import tax, VAT and mandatory 2 year warranty sees to that.
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Old Mar 18, 2014, 10:23 AM   #8
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Hopefully Apple will have a clear out at the next iPhone refresh.

iPhone 5S to be the low-end 'cheap' model
iPhone 6 in two sizes.
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Old Mar 18, 2014, 10:25 AM   #9
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Quote:
Originally Posted by jarred125 View Post
Cuz you know .. memory is so expensive!
Yes, and extra memory would stick out of iPhone's side
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Old Mar 18, 2014, 10:26 AM   #10
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Quote:
Originally Posted by slu View Post
This is getting very crazy. What happened to simple? And still too expensive. Until Apple hits a $350 unsubsidized price point, I won't be back. Even at 8 GBs, I would have stayed with iPhone instead of switching to Android a year ago.

And how much is a Nexus 5 in the UK? That has LTE...
If price is your number 1 criteria, then Apple will always lose the argument. But for many there are other factors that come into play before the topic of price comes into the equation.
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Old Mar 18, 2014, 10:28 AM   #11
timber
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Most European countries I know have had LTE for several years...

The real explanation is probably, we are launching this 5c on markets that are both based around buying the phone upfront and are at the same time large enough to be worth the effort of trying to make anything of the 5c (in the said non subsidy markets)
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Old Mar 18, 2014, 10:30 AM   #12
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Originally Posted by MacRumors View Post
The report notes that Apple may prefer not to sell the 8 GB iPhone 5c in the United States because of the popularity of subsidized phones, which sees the 16 GB model being offered for $99 or even less on a two-year contract. There are, however, plenty of other countries where subsidies are not common
I would say 90% of people who have a mobile in the UK are on subsidised contracts. Im one of very very few who buys their iPhone outright each year and saves money with a sim only deal.
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Old Mar 18, 2014, 10:30 AM   #13
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If anyone posts that "Can't innovate anymore my a$$" comment one more time I'll punch you so hard that Chuck Norris would be impressed.
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Old Mar 18, 2014, 10:31 AM   #14
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More accurately: the 8 GB 5c is intended for markets where the 8 GB 4s isn't selling well. If people stop buying the 4s in the US, they will get this model too.
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Old Mar 18, 2014, 10:33 AM   #15
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Bring back the original iPhone yet with retina and LTE.

Or, instead, add royal blue and project red to the 5C lineup with a white front, instead of the black.
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Old Mar 18, 2014, 10:34 AM   #16
marty1980
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8gb?!?

This is fine for those countries.

I will be extremely disappointed in Apple if they stick with the 16GB models as the low end for another year in the U.S.

The 16GB models need to go when the iPhone 6 launches this year. It needs to be replaced with 32GB models, 32GB => 64GB, and 64GB => 128GB.

The memory should be cheap enough now that Apple can still bank on the phones without continuing to jip customers.

App sizes are getting too big to make use of those HD/Retina screens. Cellular data packages limit the usability of the cloud. WiFi is not abundant enough to accommodate the lacking cellular support.
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Old Mar 18, 2014, 10:36 AM   #17
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Normally the problem with lte is that low data caps mean you get through your allowance in 50 seconds but an 8 gb (7 or less in reality) couples it with the new problem of having no space to download the content you want (streaming aside of course).

The people who are prepared to pay more for a new technology like 4g (in places like the uk) aren't going to be happy with an 8gb phone
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Old Mar 18, 2014, 10:36 AM   #18
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That is a flippin terrible price.
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Old Mar 18, 2014, 10:40 AM   #19
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Quote:
Originally Posted by timber View Post
Most European countries I know have had LTE for several years...
In the UK, LTE became available in 2012 on a single network. At this time in 2014, a couple/few other networks are rolling out their LTE networks. I think plans are to have a handful of major cities covered by the end of 2014 and most of the UK mainland covered by the end of 2015.

Also worth noting is that the frequencies used in the iPhone 5 were only compatible with that one network that had LTE in 2012. I can only assume that this is the reason Apple made the 5C and discontinued the 5 in the first place; they needed a new phone that works on all LTE networks, or have some (2013) iPhone 5 handsets work on all networks and some (2012) only work on one.

So this argument of LTE-growth areas seems reasonable to me.
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Old Mar 18, 2014, 10:41 AM   #20
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Quote:
Originally Posted by marty1980 View Post
This is fine for those countries.
Unless your talking about how the subsidies work here vs the us I don't see why an 8gb model is any more appropriate in uk Germany etc than the us

Last edited by Frizers; Mar 18, 2014 at 11:08 AM.
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Old Mar 18, 2014, 10:42 AM   #21
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Quote:
Originally Posted by dannys1 View Post
I would say 90% of people who have a mobile in the UK are on subsidised contracts. Im one of very very few who buys their iPhone outright each year and saves money with a sim only deal.
I highly doubt the number is 90%. It depends on the type of people but a huge segment of smartphone users are on pay as you go.
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Old Mar 18, 2014, 10:45 AM   #22
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this is a mistake, IMO, for the US market. They should replace the 4s with the 8gig and make that the free phone under contract. If for nothing else just to get rid of the 30 pin connector and put that into history once and for all.
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Old Mar 18, 2014, 10:49 AM   #23
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Lke many if you, I'm less than impressed by apples new devolution (well mostly at the cheeky price point)

However, if they'd even done a special colour combo like they did with the devolved iPod touch 16gb, it would have at least differentiated it.
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Old Mar 18, 2014, 10:49 AM   #24
timber
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Quote:
Originally Posted by greensalad View Post
In the UK, LTE became available in 2012 on a single network. At this time in 2014, a couple/few other networks are rolling out their LTE networks. I think plans are to have a handful of major cities covered by the end of 2014 and most of the UK mainland covered by the end of 2015.

Also worth noting is that the frequencies used in the iPhone 5 were only compatible with that one network that had LTE in 2012. I can only assume that this is the reason Apple made the 5C and discontinued the 5 in the first place; they needed a new phone that works on all LTE networks, or have some (2013) iPhone 5 handsets work on all networks and some (2012) only work on one.

So this argument of LTE-growth areas seems reasonable to me.
As you can see from my location I am from a not so advanced UE country and we had LTE launch around January 2012 and now after more than 2 years the problem with LTE is more the download limits than anything else. We only have 3 carriers all of them launched around almost the same day or week (yeah, they keep doing that).

We also had the same situation with the iP5 frequencies but that was Apple's decision and problem. The Android manufacturers were going full steam ahead with LTE phones (as usual with functions to tick on a feature list...).

Nowadays beyond a certain price range is difficult not to buy a LTE phone.
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Old Mar 18, 2014, 10:51 AM   #25
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I get that Apple can charge lots for memory upgrades. Don't like it, but I get it.

But, why would they sell a phone with only 8gb? The cost to put in 8 vs 16gb can not be much money at all. But you now have a phone that will piss people off when they run into memory issues, and they get mad at Apple.

I just do not get it.
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