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There’s a lot of talk going round about RBC Capital Markets General Manager Mike Abramsky predicting that the iPhone 3GS will be priced at free once the iPhone 5 makes its debut.

This potential move by Apple would actually make a lot of sense. There have been rumors of a cheaper iPhone announcement circulating around the web for months now. Rumors that were lent credence by Android’s now clear market dominance as a mobile OS due in part to its uncontested presence in the lower ends of the mobile market.

Android has been living pretty selling budget smartphones to the masses. With such a clear and dominant foothold in an industry that Apple claims to rule, Android phones are earning themselves both a reputation and fan-base as legitimate iPhone competitors.

Taking an existing product like the iPhone 3GS, a product that already has a viable and established reputation, and demoting it to the ranks of ‘budget phone’ would be a quick and easy way to challenge the Android rebellion at its very heart. By simply deciding to demote the iPhone 3GS instead of making it redundant Apple will have found its play in the one area of the handset world in which that it has not yet shown its hand.

Whether or not this news will turn out to be true is anyone’s guess. But we think it would be a great move by Apple and would finally allow those of us with limited funds but a thirst for smartphones to join in on the iPhone experience.

Source: BGR


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