'$99 iPhone' rumors flare again

In December, rumors began flaring that Apple was planning an entry-level $99 USD iPhone for Wal-Mart, one that would look the same as the current models but have fewer features and a cheaper data plan.

Thanks to RBC Capital Markets analyst Mike Abramsky, those rumors are back in the news today as Abramsky says the phone is definitely coming, and should be introduced in June or July.

"Checks reveal further entry-level iPhone details, including entry-level pricing," Abramsky said in his report. "Also expected is a 3G iPhone performance upgrade."

The cheaper model will have 3G capabilities stripped but will still include Wi-Fi and Bluetooth, just like its more expensive brothers.

How can Apple afford to drop the price so much? "We estimate the entry level iPhone would cost $195 to $225 to manufacture, vs. the iPhone 3G at $300," noted Abramsky.

The current iPhone data plan, which gives users unlimited Internet access, costs $30 a month but the $99 iPhone would include a "light data plan" at $15 a month, with restricted access.

Written by: Andre Yoskowitz @ 10 Feb 2009 17:59

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14 comments

ZippyDSM

Unlimited internet?
Can Iz plug it into a PC and surf?

10.2.2009 18:08 #1

21Q

No ... The iPhone doesn't have internet sharing or w/e it's called. Which is one of the many reasons why I regret buying an iPhone, or two...

10.2.2009 18:36 #2

ZippyDSM

Originally posted by 21Q: No ... The iPhone doesn't have internet sharing or w/e it's called. Which is one of the many reasons why I regret buying an iPhone, or two...My uncle is on dial up and when I go to watch the pets for a few days or work on the comp dealing with dail up is hell, if I could get a phone+cell net with a reasonable limit I am willing to shell out 30-50$ a month for it.

If the GD cell phone companies were not ass mongers and sold decent rates a buck a gig and 25 cents a minute at 15 a month 7 of which covered is not bad deal for as much as I plan to use it.

Its a shame cricket went over 25$ a month...

10.2.2009 18:44 #3

djeazyg

If you "jailbreak" the iPhone you can tether it to any PC or laptop. I do it for my laptop all the time.

10.2.2009 20:12 #4

blueboy09

Keep in mind that there's no 3G capabilities, so yea, the internet most likely will be slow as hell, and a bare-bones light data plan might be OK for a small few, but not the majority, especially if you like to TXT or surf the net like I do on my crappy RAZR phone (yes it's a really sucky phone).

11.2.2009 05:01 #5

SProdigy

Originally posted by blueboy09: Keep in mind that there's no 3G capabilities, so yea, the internet most likely will be slow as hell, and a bare-bones light data plan might be OK for a small few, but not the majority, especially if you like to TXT or surf the net like I do on my crappy RAZR phone (yes it's a really sucky phone).No 3G on the entry level would kill it for me. Why strip that out when this is the phone used to "experience the mobile web"? Makes no sense to me. I'd rather have WiFi taken out and smaller storage, since I already own an iPod for my music, and have it hooked up to my car stereo; something I wouldn't be able to do if it were also my phone!

11.2.2009 09:54 #6

arcanix

I have a 3G data plan with unlimited internet access for 13$/month. I can use it with my pc or just the phone.

11.2.2009 11:21 #7

ZippyDSM

Quote:Originally posted by blueboy09: Keep in mind that there's no 3G capabilities, so yea, the internet most likely will be slow as hell, and a bare-bones light data plan might be OK for a small few, but not the majority, especially if you like to TXT or surf the net like I do on my crappy RAZR phone (yes it's a really sucky phone).No 3G on the entry level would kill it for me. Why strip that out when this is the phone used to "experience the mobile web"? Makes no sense to me. I'd rather have WiFi taken out and smaller storage, since I already own an iPod for my music, and have it hooked up to my car stereo; something I wouldn't be able to do if it were also my phone!The diffrence is about 99$ and 99 IQ points.
They are filling a need for the lower end of the market.......food chain.....

ZOMG NARF!!!!
...oops....I should not speak ill of mew peers.......they izzz watching mmmeeeeeeeeee........always watching......... =0_o=

11.2.2009 11:22 #8

Morreale

I'm ok with this. I don't need 3G... Mobile internet or whatever is too expensive. Like with Rogers, what? A data plan that gives you like nothing is $60 a month or something, and that's just for data I'm pretty sure. Then you gotta add in calling and texting :/

WiFi is good enough for me...

11.2.2009 12:20 #9

ThePastor

I'm glad I'm not the only one who finds this to be funny as hell!
An Iphone without 3G is like a NETbook with dialup!!!

But hell, it's all good... keep the unwashed masses off of my network!

Data pricing is insane. It will eventually level off like ISP connections to the net finally did.
It's absolutely crazy that I have to pay more for a crappy 3G connection (which doesn't always exist) than I do for my home net connection!

And oh, as for the "cheaper data plan"... yeah... this is how that works... (and is one reason I'm sick and tired of the cell phone companies)... If you own a non-PDA phone, (PDA=Full keyboard to the Cell phone company) then you pay half the cost for a data plan... unlimited. Put a keyboard on your phone and now you pay twice as much... SAME DATA PLAN!
This is what they'll do with this cheapo Iphone. They'll only let you use EDGE or some other slow network and charge you something less.

11.2.2009 15:34 #10

SProdigy

Originally posted by ThePastor: I'm glad I'm not the only one who finds this to be funny as hell!
An Iphone without 3G is like a NETbook with dialup!!!

But hell, it's all good... keep the unwashed masses off of my network!

Data pricing is insane. It will eventually level off like ISP connections to the net finally did.
It's absolutely crazy that I have to pay more for a crappy 3G connection (which doesn't always exist) than I do for my home net connection!

And oh, as for the "cheaper data plan"... yeah... this is how that works... (and is one reason I'm sick and tired of the cell phone companies)... If you own a non-PDA phone, (PDA=Full keyboard to the Cell phone company) then you pay half the cost for a data plan... unlimited. Put a keyboard on your phone and now you pay twice as much... SAME DATA PLAN!
This is what they'll do with this cheapo Iphone. They'll only let you use EDGE or some other slow network and charge you something less.Somehow I got away with a "non-PDA" plan through AT&T and since I have a Blackjack, I still qualify for my corporate discount, which cannot be applied to the iPhone. Yet another reason not to jump ship.

11.2.2009 16:54 #11

ThePastor

Yeah, I tried that with my Blackjack II and they forced me to pay the high price.
What was worse was I had had a standard phone and it was time to upgrade, so I checked the dataplan prices which was $15 and I decided that it was worth it, so I paid extra to get the Blackjack II so I could actually use the data that a data plan allows...
Without warning the price doubled... "Your phone is a PDA"...
I'm going to be turning my data plan off.
I use my Mylo for emergencies. :D

You can tether your BJ as well. I'm told that they won't say nothing unless you get crazy with the downloads.

Unfortunately for them, all Blu-ray protections have been broken and BD rips can be found around the Internet, usually before the retail even hits shelves.

11.2.2009 17:52 #12

Mez

Apple figures there will be plenty of stupid persons that will jump at a cheap iphone and not understand or possibly not even care that it is crippled.

18.2.2009 07:46 #13

Morreale

As long as it has Wifi and like a super cheap data plan that DOESN'T rip you off, I'm for it.

If not, fake iPhone all the way! :)

18.2.2009 15:49 #14

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