Apple Working on Smaller, Cheaper iPhone to Compete with Android
Apple is said to be working on a new smaller, less expensive version of the iPhone, according to a new report from Bloomberg
today. This new model would be in the $200 range and be about a third smaller than the current iPhone 4. With a lower price point, cellular providers could then give customers the choice of either paying for the phone at full price without a contract or give the phone away for free with a two-year contract.
Currently, Apple has 16 percent of the global mobile market share, while rival Googleís market share has more than tripled to 32.9 percent in the fourth quarter. With a new low-cost iPhone, Apple hopes to increase its overall market share worldwide and surpass Google in the process.
Apple is said to be developing an iPhone that can access multiple wireless networks. This dual-mode iPhone would be compatible with both GSM and CDMA wireless standards and be able to work internationally as well.
It is also widely believed that Apple is developing a universal SIM card that would give users the option of choosing cellular networks with an app installed the phone. This technology would allow users to switch networks without having to change SIM cards manually. Itís thought that Apple hopes to cut costs associated with the distribution and management of SIM cards worldwide.
This new mini iPhone is by no means a sure thing, however, as Apple has a history of developing prototype devices then scrapping them along the way. The prototype is also said to be missing the home button according to reports.
CEO Steve Jobs may be on sick leave at the moment, but that hasnít stopped him from making strategic decisions while heís away. Heís said to be working from home, but he has been seen on the Apple campus now and again. Itís a safe bet that heís keeping a close eye on the latest iPad and iPhone versions due later this year. COO Tim Cook has been handling the day-to-day operations while Steve is away. This may actually give Steve more time to oversee the development of the next couple of iOS devices and iron out any wrinkles before they are released. Hopefully, heís getting some rest and not working too hard while heís recuperating though.