The New York Times is reporting that Apple is indeed working on a cheaper iPhone, they are not in fact working on a smaller model as had been previously rumored.
But contrary to published reports, Apple is not currently developing a smaller iPhone, according to people briefed on Apple’s plans who requested anonymity because the plans are confidential.
If Apple were to introduce a new, smaller iPhone, developers would have to rework their applications to function with a new smaller screen, which is something that Apple doesn’t want to put developers through according to the report. Apple also plans to drop the price of the previous year’s model, meaning that the iPhone 4 when it’s replaced by the rumored “iPhone 5” this summer, will now cost $49. Just like the iPhone 3GS being offered by AT&T.
The report does reinforce other reports that Apple is working to improve voice commands for navigating the device, and changing the device’s internals to reduce cost.
“Although the innards of the phone, including memory size or camera quality, could change to offer a less expensive model, the size of the device would not vary,” said the person, who has worked on multiple versions of the device.
Lastly, the report weighs in on the MobileMe rumors, and claims that the upcoming overhaul of the service will bring wireless syncing of content, and will be made free to everyone.
To me, this sounds more like Apple. Don’t muddy the waters with multiple models, but make the one’s you’ve got increasingly less expensive over time.
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