Cheaper iPhones With New Gestures On The Way?

Rumors are swirling around about Apple possibly announcing lower-cost iPhone models in June. This one comes from Katy Huberty with Morgan Stanley, who points out that cost of the device and the plan that goes with it are hands-down the biggest factors deterring people from buying iPhones. She predicts Apple is going to respond to this by announcing models with a lower over-all cost of ownership.

“We expect Apple to launch new iPhones in June that offer both a lower total cost of ownership and new functionality, potentially including gesture-based technology,” she wrote in her most recent note to investors.

She even has a fancy graph. Check it out:

Fancy, eh? The only problem with this is that she doesn’t present any actual evidence that Apple is planning to act on the cost barrier any more than they normally do. Cost is obviously going to be the biggest barrier, as the iPhone (like all Apple’s products) is a premium, high-end device, and as such it comes with a premium, high-end price tag and premium, high-end wireless bill. Doing something about that can only bring in more customers. The question is if the new customers they would bring in would make up for the money they would lose by lowering prices. Hopefully the answer to that is “yes”.

She also predicts the device will have new gesture-based features, which falls in line with the patent we saw yesterday, among other things.

[via Apple Insider]

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