A couple of weeks back, there were a series of rumors about a cheaper, smaller iPhone. We pondered over the pros and cons if this were to happen. Now, there is a fresh buzz following comments from Tim Cook, originally the COO but now acting CEO of Apple in Steve Jobs' absence. Apple Insider reports of the talks that Cook had with a research analyst where he said that Apple isn't "ceding any market" and that they don't want to build products "only for the rich".
He acknowledged China as a "classic prepaid market", which basically translates into a contract-free, unlocked, upright payment market (much like our India). A cheaper iPhone would make a lot of sense in these markets, he said, and we couldn't agree more. With hordes of Android phones that cost much lesser than the iPhone's India pricing and provide on par functionality, Apple better tap this market.
He also believes that the tablet market will surpass the PC market and that the competition between different tablets will be even more cutthroat than smartphones. Apple's greatest trump card is its amazingly dominating market share for now, and with the upcoming iPad 2 announcement tomorrow, things can only get more intense in the tablet space.
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