MacRumors has posted images it believes to be of inside and back of the iPhone 5S. One shot shows the electronic components of the rumored-device, including the battery and logic board, while the other shows a slightly redesigned rear shell. The site notes a few interesting findings: the logic board appears to match one shown earlier in the week, the chip has not been labeled with an A-series name, a date code indicates the chip was manufactured in October 2012, and the battery has a higher capacity than that of the iPhone 5. Additionally, the back of the device shows what appears to be a dual LED flash array.
Apple’s share of the smartphone market is expected to peak at 22 percent this year, according to a Reuters report, and cellular carriers may be in a position to negotiate more competitive prices. The report details how the strength of other smartphone operating systems may loosen Apple’s grip on the overall market. “The more operating systems we have to compete in this area the better the competition,” said Fran Shammo, chief financial officer of Verizon Communications, noting that Apple’s iOS now confronts Android, Windows, and Blackberry as strong platforms. Reuters also notes that T-Mobile USA plans to stop subsidizing smartphones when it begins to sell the iPhone, and other carriers are considering follow suit. “That’s something we’ve looked at on several occasions. I kind of like that idea,” said AT&T CEO Randall Stephenson. “It’s something we’re going to be watching.”
The report claims that a “less powerful Apple could be welcomed by telecommunications carriers and component suppliers that have grown accustomed to the tough terms Apple was able to exact thanks to its massive scale and leadership in the market.” Apple may already be anticipating the loss of subsidies and a future with lower-cost devices as it prepares a low-cost iPhone for release.
A couple of new iPhone rumors suggest Apple could be looking to release both high-end and low-end models this year, while the iPhone 5 remains in the middle. Analyst Peter Misek has suggested that the iPhone 5S will go through preliminary builds in March, with a launch in June or July, less than a year after the iPhone 5 debuted. Originating from Asian part suppliers, a second report claims that a recently rumored lower-cost iPhone could include a plastic chassis, or a plastic-and-metal chassis designed such that parts might be seen from the outside — a rumored launch date for this model is sometime in the second half of this year. While the rumors should be taken with requisite grains of salt, particularly when they come from analysts, the rumors follow Friday’s withdrawn report regarding Apple Senior VP Phil Schiller’s comments on a cheaper iPhone—a withdrawal that has been taken to suggest that the company is indeed pursuing a new affordable model. iLounge’s own sources suggest that Apple hopes to release a less expensive version of the iPhone 5, featuring such components as a Lightning connector and 4” screen.
[via Street Insider, Digitimes]
In an interview with the Shanghai Evening News, Apple Senior VP Phil Schiller responded to rumours of a cheaper iPhone, essentially stating that Apple will continue to focus on producing the best quality iPhone possible and will not cut corners on its iPhone design simply to produce an inexpensive smartphone for the mass market.
Speaking regarding Apple’s products in China, Schiller noted that the Chinese market has already evolved from non-smartphones to cheap smartphones, but that despite their popularity, this will not be the future of Apple’s products. Schiller emphasized that Apple considers using only the “best technology available” in every product that it creates, and that Apple continues to make the majority of profit despite only owning a relatively small market share of smartphones.
Update: Reuters has issued a brief statement that it has withdrawn the prior story due to the Shanghai Evening News report being “subsequently updated with substantial changes to its content.” Notably, Reuters has indicated that no replacement story will be issued. There is some confusion as to the reasoning for this, as the Shanghai Evening News reports does not appear to have substantially changed since its initial publication by English media, however there has been some speculation that Schiller’s comments may have been misinterpreted or mistranslated.