We like the sound of this one: Apple is rumored to be working on a smaller, cheaper iPhone — the iPhone nano. Best of all, the $200 iPhone will be contract free and may be dual-mode.
According to Bloomberg, the new handset will be about one-third smaller and be based on older, cheaper components to keep the price down. Apple already has a prototype (more likely, prototypes) and plans to introduce the new iPhone mid year.
The new iPhone may also be dual-mode. Bloomberg says Apple is also working on a dual-mode GSM and CDMA handset that would work on almost all networks — this may or may not the iPhone 5, and may or may not be in the new, smaller iPhone. Would make sense if it was though.
The cheaper handset is to counter the relentless march of Android phones, which are beating iPhone market share (but not iOS market share).
Bloomberg has great sources and has a good track record with Apple rumors. If true, it’s huge. It would upend carrier subsidies and the whole wireless business, givung control back to consumers and device makers.
The rumor tallies nicely with our prediction earlier this year that 2011 would be the year Apple introduces new iPhone models, just as it diversified the iPod line with nanos, shuffles, and classics as the technology matured.
As we noted in our prediction piece, Apple is currently competing only at the high-end, and has nothing to counter Android at entry-level prices. We predicted Apple will introduce a cheaper iPhone this year to widen the “price umbrella.” We called the cheaper iPhone, the “iPhone play.”
Of course, the iPhone nano rumors are as old as the hills.
https://www.youtube.com/watch?v=75gG8Kcn0io
Leander Kahney is the editor and publisher of Cult of Mac.
Leander is a longtime technology reporter and the author of six acclaimed books about Apple, including two New York Times bestsellers: Jony Ive: The Genius Behind Apple’s Greatest Products and Inside Steve’s Brain, a biography of Steve Jobs.
He’s also written a top-selling biography of Apple CEO Tim Cook and authored Cult of Mac and Cult of iPod, which both won prestigious design awards. Most recently, he was co-author of Cult of Mac, 2nd Edition.
Leander has been reporting about Apple and technology for nearly 30 years.
Before founding Cult of Mac as an independent publication, Leander was news editor at Wired.com, where he was responsible for the day-to-day running of the Wired.com website. He headed up a team of six section editors, a dozen reporters and a large pool of freelancers. Together the team produced a daily digest of stories about the impact of science and technology, and won several awards, including several Webby Awards, 2X Knight-Batten Awards for Innovation in Journalism and the 2010 MIN (Magazine Industry Newsletter) award for best blog, among others.
Before being promoted to news editor, Leander was Wired.com’s senior reporter, primarily covering Apple. During that time, Leander published a ton of scoops, including the first in-depth report about the development of the iPod. Leander attended almost every keynote speech and special product launch presented by Steve Jobs, including the historic launches of the iPhone and iPad. He also reported from almost every Macworld Expo in the late ’90s and early ‘2000s, including, sadly, the last shows in Boston, San Francisco and Tokyo. His reporting for Wired.com formed the basis of the first Cult of Mac book, and subsequently this website.
Before joining Wired, Leander was a senior reporter at the legendary MacWeek, the storied and long-running weekly that documented Apple and its community in the 1980s and ’90s.
Leander has written for Wired magazine (including the Issue 16.04 cover story about Steve Jobs’ leadership at Apple, entitled Evil/Genius), Scientific American, The Guardian, The Observer, The San Francisco Chronicle and many other publications.
Leander has a postgrad diploma in artificial intelligence from the University of Aberdeen, and a BSc (Hons) in experimental psychology from the University of Sussex.
He has a diploma in journalism from the UK’s National Council for the Training of Journalists.
Leander lives in San Francisco, California, and is married with four children. He’s an avid biker and has ridden in many long-distance bike events, including California’s legendary Death Ride.
You can find out more about Leander on LinkedIn and Facebook. You can follow him on X at @lkahney or Instagram.
