Apple to Launch Low-End iPhone 3GS for $350 and High-End iPhone 4S by End of Summer

Submitted by lalit on July 18, 2011 - 12:21pm.

BGR today reported that Apple would launch a low-end iPhone (3GS) along with next generation iPhone to address both the lower- and higher-end smartphone market. According to one of the BGR’s sources:

Apple will indeed be launching a prepaid / lower cost iPhone this year. We are told the handset will retail for no more than $350 without contract. Ready for the really interesting part? It’s entirely possible that the low-cost iPhone will in fact be the iPhone 3GS. We reported that we were able to independently confirm that the iPhone 5 featured a radical new design, however this source of ours isn’t quite sure that will be the next iPhone. Whether it’s the iPhone 4S or 5, it will be coming out or “at least announced by the end of Summer, late August-ish.” They theorized that we’d have seen new 3rd party cases by now if the upcoming iPhone featured a different exterior, though Apple has surely been cracking down on their case specification leaks. If this turns out to be true, it will mean there would be an iPhone 4S in addition to the prepaid iPhone 3GS available within the next month to two. Let’s do one better, though. In addition to that news, we are told that Apple will continue to sell the current iPhone 4 as well, finally giving the company a full range of devices in the lower, mid, and high-end price segments.

There are two main problems with the above mentioned rumors – first even at $349 the iPhone 3GS is very costly for what it offers, a three years old hardware; and second, even if the next generation iPhone won’t see much external redesign (which we believe it will), the internal redesign itself will be very big.

Our sources say that the low-end iPhone will be a new product with new processor, screen and camera. It might look like iPhone 3GS (very unlikely), but it won’t be the same phone. As for iPhone 5 or 4S, it will see a major redesign not just internally but externally also.