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forget about 5C, that phone is a failure in all segments.

Failure or not, it's certainly cheaper to produce than an iPhone 5. Only selling old inventory would be cheaper. I have AppleCare+ for my iPhone 5 and was told that Apple has plenty of inventory for the 5 should I need to replace my phone.
 
I can understand the 4s. But the 4 is a bit too old in my opinion. Especially with iOS 7. I understand it may be cheaper to make a 4... and the 4s may still be a 'premium' device in these areas, so the 4 may be a good alternative. But it's still an odd move. However, I'm sure they have data to suggest it's a smart move. :rolleyes:
 
From a manufacturing perspective, how it is cheaper for Apple to continue making the iPhone 4, especially as it has already shut down production on it?
 
Every other person now owns an iPhone in India. Ever since Apple decided to ramp up their sales in India with attractive offers, everybody has one.

Not so poor after all. :)

Seriously every other person has an iphone in India ? Last I read 50 percent of the population lives below 1$ a day (that makes it 600 million people).

I am not saying India has no sales of iPhone, just hardly 2-3% of people own iPhones, but 2-3% of 1.2 billion is a lot. Dont make blanket statements based on your own observation.
 
If they were capable of producing and profitably selling a $349 iPhone two years ago, why not now?

Amortized tooling and increased production yields, allowing vendors and sub-contractors, as well as Apple, to reduce costs. Make stuff long enough, and manufacturing engineers eventually figure out better and better ways to reduce mistakes, increase yield, and simplify processes.

A company can use these efficiencies to either increase profits or reduce prices. Apple may well be taking a lower profit on these old models, since they make enough on the newer models to keep shareholders happy with the overall gross margins.
 
You mean to tell me that an almost 4-year-old iPhone 4 with 8 GB of space is $10 more expensive than a brand new Nexus 5 with 16 GB of space!
 
Would it really make a difference to Apple whether they manufacture the 4 or the 4S? I'd think it's cheaper to just make more of a phone they're already making, than to restart production on an older version. The price of assembly should be pretty much the same, while the component cost is at this point probably the same too.

Buying an iPhone 4 now is silly as an old Nokia will perform better than that, and it's still an expensive phone so you'll want to hold on to it for years especially if you're not rich. So imagine how it will run in 3 years!
 
The US market is big for luxury goods

and maybe 20% (60 million) of the population can afford them. India has 1.2Bn people with a growing middle class. 60 million is about 5% of their population. Perspective.
 
Some how I don't think this is going to go very well. Just recently got back from India. Most people with smartphone that I met, are using some sort of Samsung phone I'd say the ratio is almost as much as 4:1 (samsung:apple). I really think Tim should make a trip to India and see how things are like. People over there are not stupid, in fact they are extremely practical. If they can get a samsung for $300-350 that has big enough screen and works with WeChat, Whatsapp, or even iMessage, I'd say that's enough for them. Sure, the name Apple is just as tempting, but when you are not financially capability to afford a full price iPhone and the concept of payment plan is rare, it's not a win situation for Apple.

I really think Apple needs to rework it's thinking, I'd say the best plan is to simply drop the price of the 5C by $200-250, admit that it was a price mistake and just roll the punch. What's the point selling something that is almost 4 years old, again people are not stupid over there. Frankly, the only thing that is really holding me back is iMessage (I just hate typing on my phone if I don't have to), and the fact that I can just take my phone back to apple store if it breaks down. But after all these years of using iPhone I've also gotten a bit sick of they price point, Nexus 5 is looking better by the day. Let's just say choosing iPhone 6 vs. Nexus 6 is going to be interesting.

Anyways, how true is this report anyways. Maybe I should have questioned that first....
 
4 instead of 4S ??

This is a strange move considering how iOS7 runs on the 4. And when taking into account, people who have less to spend will probably hold on to their phone for longer, how will it run (or will it even?) newer versions of iOS?

It'll be like with the original iPad, that's stuck on iOS 5.1.1. Many apps, you won't be able to install because they require iOS6+ and many of those you actually can instal won't run smooth because the hardware is old.
 
Some how I don't think thvalue going to go very well. Just recently got back from India. Most people with smartphone that I met, are using some sort of Samsung phone I'd say the ratio is almost as much as 4:1 (samsung:apple). I really think Tim should make a trip to India and see how things are like. People over there are not stupid, in fact they are extremely practical. If they can get a samsung for $300-350 that has big enough screen and works with WeChat, Whatsapp, or even iMessage, I'd say that's enough for them. Sure, the name Apple is just as tempting, but when you are not financially capability to afford a full price iPhone and the concept of payment plan is rare, it's not a win situation for Apple.

I really think Apple needs to rework it's thinking, I'd say the best plan is to simply drop the price of the 5C by $200-250, admit that it was a price mistake and just roll the punch. What's the point selling something that is almost 4 years old, again people are not stupid over there. Frankly, the only thing that is really holding me back is iMessage (I just hate typing on my phone if I don't have to), and the fact that I can just take my phone back to apple store if it breaks down. But after all these years of using iPhone I've also gotten a bit sick of they price point, Nexus 5 is looking better by the day. Let's just say choosing iPhone 6 vs. Nexus 6 is going to be interesting.

Anyways, how true is this report anyways. Maybe I should have questioned that first....

What makes sense for us does not make sense for a profit driven company like Apple. I have given up on Apple when comes to a cheap high end phones to battle the Nexus, Motorola X or Motorola G. Apple has this arrogance that people are willing to pay crazy amounts of money because of the Apple logo. Selling a phone that's way past it's prime and for price that's equally idiotic just shows Apple's thought process.
 
Bad Move

So this is going to sell for about the equivalent of one month's rent for a downtown 3-bedroom apartment in a large city?

Somebody needs to take those executives and smack them. This plan won't increase market share, it will destroy it. I agree with the suggestion (above) - retool the 5c slightly, and dump it into the South Asian and Oriental markets for competitive prices. Get people into the Apple ecosystem, but with relatively up-to-date technology (ok, only one year old as opposed to four years old...) Then work on moving the more affluent ones up to the 5s or successors.

We all recognize that this hasn't been the typical way of doing things for Apple. Perhaps it time that they "Think Different".
 
Each iPhone 4 should be sold with a sticker on the box in the respective language with the following message: Congratulations, you now own the iPhone 4, the best 4-year-old smartphone you could afford.:p

Really, Apple should discontinue production of the iPhone 4/4s this year once the iPhone 6 gets released. I'm even starting to wonder if the 4/4s models will outlive the 5s model (if Apple decides to discontinue the 5s in September).
 
Ugh. As a developer, I loathe the iPhone 4, it is just way too underpowered to support the display. And this has become even worse with iOS7, and of course, ever more modern applications that use an increasing amount of resources.

The 4S is still a pretty good phone (it's still my everyday phone) that can handle iOS7 and modern applications (although even that is a bit sketchy in some cases). The 4S has a much superior CPU, much superior GPU, double the RAM, and a far superior camera (iPhone 4 camera quality is not only fairly bad, but the shutter lag makes it almost unusable). The 4S should be should be the new low end, at minimum. And the 5/5C would be an even better idea if practical.

Apple has been cranking out the 4S by the millions for years, shouldn't the manufacturing cost have come down dramatically by now?
 
If the iPhone 4 has been out of production, where does Virgin Mobile USA get its supply? It is available, new, for around $USD160. Are they Sprint leftovers?
 
At least this means that Apple will have to somewhat optimize iOS 7 to make it not run like ****.
 
forget about 5C, that phone is a failure in all segments.

It's not a failure in all segments. It gave people choice. 2/3 of people chose the 5s and 1/3 chose 5c. Doesn't make it a failure.

When the 5c price gets dropped this year we will see how much a failure it truly is...
 
Ugh. As a developer, I loathe the iPhone 4, it is just way too underpowered to support the display. And this has become even worse with iOS7, and of course, ever more modern applications that use an increasing amount of resources.

The 4S is still a pretty good phone (it's still my everyday phone) that can handle iOS7 and modern applications (although even that is a bit sketchy in some cases). The 4S has a much superior CPU, much superior GPU, double the RAM, and a far superior camera (iPhone 4 camera quality is not only fairly bad, but the shutter lag makes it almost unusable). The 4S should be should be the new low end, at minimum. And the 5/5C would be an even better idea if practical.

Apple has been cranking out the 4S by the millions for years, shouldn't the manufacturing cost have come down dramatically by now?

4S has exactly the same RAM as 4,not double.

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and maybe 20% (60 million) of the population can afford them. India has 1.2Bn people with a growing middle class. 60 million is about 5% of their population. Perspective.

Your perspective is flawed, US middle class is 55% of the population, and while numerically it might be similar to the Indian Middle Class, there is a lot of difference betwenn disposable incomes of US and Indian Middle classes.
 
Every other person now owns an iPhone in India. Ever since Apple decided to ramp up their sales in India with attractive offers, everybody has one.

Not so poor after all. :)

Agreed. Some people forget there are many people aspire to own something good. They don't want the average, they want more. Like BMW, Gucci, Tiffany etc.
 
Scenario 1) They somehow revise the internals to make it perform better.
Scenario 2) They tweak the iPhone 4's iOS 7.1 build to make it run smoother.
Scenario 3) Tim Cook, Craig Federighi and Jony Ive laugh at this post.
 
its crazy how here in the US in craigslist alone you can buy a iphone 4 for about $100. and outside the US the iphone 4 goes for $300+.

but im aware that outside the US everything is more expensive and not everyone makes enough money to be able to buy one.

when i went to Mexico unless you have a good job or have saved up almost every peso you made working for the last 9 months you won't be able to afford even the iphone 4. prices are just ridiculous and aren't reasonable to the conditions in the country.

thats just my 2 cents.
 
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