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Apple COO Hints at Cheaper iPhone for Prepaid Markets

Categories: iOS / iPhone OS, iPhone
By: , IntoMobile
Monday, February 28th, 2011 at 1:21 PM

Bernstein analyst Toni Sacconaghi interviewed Apple COO Tim Cook recently, where he said that they’re looking to make an iPhone ideal for prepaid customers; “price is big factor in the prepaid market,” and they’re not “ceding any market.” China is a prime target for such a product, and Cook says they’re working on “clever things” to enable anyone to get an iPhone – it’s not “just for the rich”.

Prepaid is something Stefan thinks Apple should have tackled from the get-go, and though I’m tempted to agree, I understand that as a new entrant, the iPhone needed all the partner support it could get. Though older iPhones can certainly compete on price, new entry-level Android phones stand a better chance at piercing prepaid markets than iPhone right now. Which corners Apple is willing to cut to reduce cost is the big question, though; maybe a $200 off-contract iPhone Nano with a non-Retina display will do the trick, though that rumour’s still up in the air. Apple supposedly backed off on the idea of embedded SIM cards because of service providers, so an iPhone Nano may be equally squashed if retail partners aren’t cooperative, though Sacconaghi says Apple remains bullish in their carrier relations.

Whatever ends up happening with the iPhone’s entry into Prepaid Land, we’ll have to get through this iPad 2 noise next week before getting any solid idea of Apple’s smartphone plans.

[via BusinessInsider]

About The Author

Simon Sage

Simon Sage’s education largely surrounded writing, technology and online community, leading him to begin his blogging career at www.BlackBerryCool.com and to quickly discover a vibrant and active community surrounding BlackBerry and mobile technology. In exploring RIM’s platform, he has learned what enterprises are looking for in mobility as well as what makes the innocuous BlackBerry so appealing to them. Recently Simon’s been covering RIM’s gradual move into an already-crowded consumer market, and the impact of burgeoning challengers, such as the iPhone, as well as long-time leaders, like Nokia, on BlackBerry’s advancement. With plenty of content under his belt, Simon will be branching off a bit to see what other smartphone manufacturers are working on while still using BlackBerry as a barometer. At IntoMobile, you can count on his posts being even-handed, well-informed and thought-out.

  • http://www.technokyle.com Kyle

    I don’t know how apple will pull it off but the idea of getting it done through prepaid market is so unclear. The only realistic thing I’ve seen in getting cheap iPhone is through the grey market