Apple has introduced a new version of the iPhone 5c. This cheaper iPhone is being introduced partly as Apple acknowledges that the demand for the colorful iPhone 5c was not as great as expected. When Apple announced the release of the iPhone 5s, it also came out with the cheaper, more colorful 5c.
The problem was that the iPhone 5c was only about $100 less than the 5s and numerous people thought the colorful plastic made the phone look cheap rather than fun or whimsical. At its initial release, the subsidized phones (those bought with a two year contract) were $199 for the 5s and $99 for the 5c. However, if you bought a new iPhone 5c without a contract, it cost $549. This price has scared a lot of buyers away.
So, the hope is that by making an even cheaper version – 8 GB as opposed to the 16 GB version – Apple may be able to lure in a few more buyers. The problem though, is how low can Apple go? Recently Walmart slashed their prices for the 5c to $27 with a two year contract. So, with that being said, Apple can only go $27 lower, right?
Ultimately, the price of each iPhone is up to the carrier – assuming that you buy a new phone through a carrier. At the time of this writing, no carriers have released their actual prices for the new 8 GB version of the iPhone 5c. However, we’re willing to guess that it will be free with the purchase (or extension) of a two year contract. But how much more interest is that going to draw than a better version of the phone for $27 from Walmart? Of course that’s not up to us to say.
The other question to be answered is how much will an unsubsidized iPhone 5c cost? Without official numbers from Apple yet, we can speculate a bit based on the prices of other markets. An 8 GB version of the iPhone 5c is already available in England. There it costs the equivalent of $711, which of course is more than what it costs in the US. However, compare that to the 16 GB model in England which costs the equivalent of $778. If we can expect a similar price drop between models, that’s only $67. In other words, Walmart already discounted the subsidized version more.
If we had to guess, the new iPhone 5c will come out $100 cheaper than the 16 GB version, or at a price of $449. The bigger question is whether buyers will jump at the lower price or greet this version with the relative yawn with which they treated the previous iPhone 5c.
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