AfterDawn: News

Analyst: Apple will drop iPhone 3GS to free with launch of iPhone 5

Speculation about the upcoming iPhone 5, its specs and its release date has begun to go rampant this month, with multiple analysts fueling the rumor flames.

Last week, Chris Whitmore of Deutsche Bank said he believed Apple would release a "mid-range" iPhone 4S (with pre-paid calling and data option) alongside its new iPhone 5.



Keith Bachman of BMO Capital says there will be no iPhone 5, just an iPhone 4S, which will be Apple's updated new smartphone.

Toni Sacconaghi of Sanford Bernstein notes that Apple needs to offer a cheaper a iPhone, in general, and could possibly do so this year.

Finally, Mike Abramsky of RBC Capital added to the fun this morning saying he expects Apple will drop the price of the iPhone 3GS to $0 with contract and the iPhone 4 to $99 with contract, when it rolls out the iPhone 5, whenever that is.

"While a $49 iPhone is already available (AT&T), psychologically a $0 iPhone provides a compelling offer," adds the analyst (via Barrons).

Abramsky also believes that Apple will release a smaller, pre-paid iPhone, as well, but sometime later in 2012.

Written by: Andre Yoskowitz @ 29 Jun 2011 23:24

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• 4 comments

• Hyasuma

  so wth, is there an iphone 5 or no? article says iphone 5, and then says there is saying no iphone 5 but Iphone 4s, then said iphone 4 will be $99 when Iphone 5 rolls out...either way, HTC EVO and Android base system is better.
  

  30.6.2011 09:25 #1

• Xplorer4

  Originally posted by Hyasuma: so wth, is there an iphone 5 or no? article says iphone 5, and then says there is saying no iphone 5 but Iphone 4s, then said iphone 4 will be $99 when Iphone 5 rolls out...
  No one knows for sure. Read the article more slowly. Chris Whitmore says yes, the iPhone 5 will becoming soon. Keith Bachman believes, instead, there will be an iPhone 4S.
  
  Quote:either way, HTC EVO and Android base system is better.
  Indeed, who needs iPOS when you got Android. :)
  
  
  

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  30.6.2011 19:10 #2

• ZeusAV

  It's not the price of the phone that's the problem. The problem is that the minimum contract price to have an iPhone is $85, or around $95 after fees on AT&T.

  1.7.2011 10:15 #3

• robertmro

  "Nobody knows anything."
  
  .................. William Goldman
  

  2.7.2011 16:40 #4