Right, Apple doesn't need to offer a cheaper phone to drive record breaking launch sales.
----------
Not necessarily. Consumers aren't looking for low priced devices if they are considering Apple.
80% of consumers, or at least from what I've seen in the UK, are price driven. They don't consider Apple not because of iOS, but because of the price.
If it was on par with a mid-level Android handset, I'd think they'd sell a lot more. Obviously may be different in US due to more expensive contracts and more heavily subsidised pricing.