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at an unlocked, unsubsidized price of $349.Whitmore notes that while the market for prepaid smartphones is very small in the U.S., many other markets around the world have much higher levels of prepaid activity, and a cheaper iPhone would significantly lower the barrier to entry for those customers.

$350 is way too high for those markets. Try $35.
 
Considering there's no hints of a next generation iPod Touch, maybe this is true. Or completely wrong. :D
 
In the US I wonder how you convince Verizon and AT&T to support this.

The cost of the data plans seems to be the deal breaker for most people. AT&T is expensive but Verizon is going to be even more expensive if the rumors are true.

If Apple could find a way to hammer down the data plan cost then they could open a whole new market in the US.

some people don't need data. that's what's great about prepaid and being able to do what you want. not being forced into paying data if you don't necessarily need it.
 
In the US I wonder how you convince Verizon and AT&T to support this.

The cost of the data plans seems to be the deal breaker for most people. AT&T is expensive but Verizon is going to be even more expensive if the rumors are true.

If Apple could find a way to hammer down the data plan cost then they could open a whole new market in the US.

competition. if we can buy an iPhone and take it anywhere, verizon and at&t will have to compete by lowering rates. this is the way it should be.
Apple seems to be the only one on board with this... which is why they are pushing for a software SIM...
 
hm, for the US:

what if they release a iPhone 5 unlocked for $649, a locked iPhone 5 with contract for $200 and an unlocked iPhone 4 for $349?

I would buy the iPhone 4 unlocked and run it on my current ATT contract. And so would many people and therefore the cheap unlocked iPhone would cut into Apples high end sales.

I don't think Apple allows this to happen.

the 3GS is still around. what's the difference between what you are suggesting? Almost everyone i know that is getting a new iphone isn't opting for the cheaper 3GS.
 
Just smack a 3G + GSM sim card on an iPod Touch.. Done!

That will worth around $400 I guess.

The problem is that prepaid folks doesn't have purchasing power to benefit the App store, maybe, Apple need to coordinate to carriers to enable direct purchasing of apps through a carrier's prepaid card?

what are you talking about?
 
$350 is way too high for those markets. Try $35.

There is proof that the number is $150 or higher. Virgin Mobile sells an Android for $150 usable on a $25/month plan (unlimited data, text, 300 mins) with no contract. They sell like hotcakes.

So $150 is viable, but how much higher? A plan like Virgin would sell a zillion at $150, $200 even. Perhaps higher?
 
The problem is that prepaid folks doesn't have purchasing power

Big bold assumption there. People on prepaid just don't see a reason to pay $80 a month, when $15/month prepaid plans fit their usage much better.
 
if this pans out to be true...... it will be a great money maker for apple....

and why not keeping on producing the iphone 3GS as an alternative cheapie?
 

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competition. if we can buy an iPhone and take it anywhere, verizon and at&t will have to compete by lowering rates. this is the way it should be.
Apple seems to be the only one on board with this... which is why they are pushing for a software SIM...

I'm missing something here.
 
great more iPhone users ... i'm already sick of seeing every other person putting a iPhone out of his pocket as it is xD miss those good old "an iPhone is something special" days ^^

point of iPod Touch is ...?
 
A $350 Iphone 4s with maybe a slightly faster 1 GHz A4 processor, improved antenna, software SIM, 8 GB storage and maybe a larger 1500 mAh (more interior space thanks to less memory and softSIM) would be an instant buy for me!
 
No it wouldn't, the customers that have been buying the premium iphone will continue to buy the latest & nicest iphone, but the people who have been buying the $229 touch will now buy the $350 iphone nano. (which is what i would be inclined to).


I would do this in a heart beat if I'd be able to get it on Virgin Mobile, heck Virgin Mobile sells the iPhone in Canada.
 
Wait... Charles Whitmore is making iPhones!?!

I may not have read the whole article properly. Either way, $349 seems like a fair price point. I don't know what some of you are bugging out about.
 
I would do this in a heart beat if I'd be able to get it on Virgin Mobile, heck Virgin Mobile sells the iPhone in Canada.

Same here. I bought an LG Optimus V last month. It does what I need it to do but I'd rather have an iPhone. However, I don't see the point of spending $100 a month when Virgin only charges $25 a month.

There's an enormous market, even in the US for non-contract phones and plans. $300 would be an ideal price but $349 isn't a deal breaker.
 
This would be good. Too bad they couldn't come in at a lower price point. Imagine a prepaid iPhone for $99? Our dream would actually come true then, every human on earth would have an iPhone, all other companies would disappear, and we could bask in the euphoria of world consisting only of Apple. It makes my heart skip a beat to think that this day is coming.
 
This appears to be just someone's idea, one that is not new or original. Does the analyst have any facts or is this just another assessment of the market?
 
Very interesting graph! I had no idea prepaid phones were so rare in the US. I've only ever had prepaid since my mobile phone usage is quite minimal, and I don't think any of my friends and family have a contract phone unless their employer gave them one.
 
In the US I wonder how you convince Verizon and AT&T to support this.

The cost of the data plans seems to be the deal breaker for most people. AT&T is expensive but Verizon is going to be even more expensive if the rumors are true.

If Apple could find a way to hammer down the data plan cost then they could open a whole new market in the US.


Good luck with that. but I agree wholeheartedly.

this will only happen if:
AT&T merger with T-mo gets killed (only a dream of course)
Sprint gets iPhone,

then- people will have (4) choices of plans, which with basic economics leaves us all with cheap, cheaper, cheaper still, and cheapest.

Count me in.:D
 
Very interesting graph! I had no idea prepaid phones were so rare in the US. I've only ever had prepaid since my mobile phone usage is quite minimal, and I don't think any of my friends and family have a contract phone unless their employer gave them one.

everyone seems to think that prepaid means you have bad credit or you are poor and can't afford to get on a contract....that's not true at all.

it's common practice in US to just sign your life away for 2 years and get your phone subsidized so you don't have to pay for it upfront. But instead you pay loads of money and fees over the life of the contract.

Too many people are stuck on wanting to pay a cheap price for the phone upfront but willing to basically finance it over the life of the phone and do it monthly.

i love prepaid and will never go back to a contract again.
 
I really doubt it, but I hope that I am wrong. It would be perfect if the iPhone mini was a 3-3.5" slimmy, and the next gen iPhone 5 was a 4".

Doubt it. But I hope.
 
Good luck with that. but I agree wholeheartedly.

this will only happen if:
AT&T merger with T-mo gets killed (only a dream of course)
Sprint gets iPhone,

then- people will have (4) choices of plans, which with basic economics leaves us all with cheap, cheaper, cheaper still, and cheapest.

Count me in.:D

iphone on virgin mobile would be insane!
 
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