Apple could be clearing the way for a cut-price smartphone with minimal on board storage, rumours suggest, as it bids to take on Android in the lower-end smartphone space.
According to sources purportedly “connected to Apple” cited by Applenaps.com, the handset will rely on users being able to stash their data in the Cloud – thus allowing Apple to massively cut back on trad-dad flash storage.
Cutting back on capacity in this way and making the most of the iCloud feature that’s on the way with the next version of Apple’s operating system, iOS 5, would apparently spell such huge cost savings that Apple would be able to sell the phone for $400 contract free. That’s about £250.
In turn, this would allow carriers to offer the handset, provisionally dubbed the iCloud iPhone and with a spec sheet in line with the iPhone 4, for free on contracts from the outset.
Speculation that Apple is about to enter the market for cheaper smartphones has been rife for some time now. It had been thought that Apple would cut costs by recycling iPhone 4 parts and opting for a more compact form factor, reflected in its unofficial name of the iPhone Nano.
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