Then the existence of iPhone 5C is pointless. $549 off contract price is not cheap at all. There is Nokia offering bunch of cheap phones, there is high end Nexus 4 and soon Nexus 5. Remember people in Asia or Europe buying phones with off contract price. Apple want to expand market in China, but Apple failed to see there is lots of good phones with cheaper price tag. For example: Xiaomi phone and Meizu phone. 4500RMB is not cheap by any short of imagination, not at all.