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Apple to Launch Next-Generation iPhone in Late August, Offer Unsubsidized 3GS for $350?

BGR reports that it has received information from an "incredibly solid source" claiming that Apple will be introducing its next-generation iPhone "by end of the Summer, late August-ish" and taking advantage of the opportunity to expand its iPhone line to three models by selling the new handset alongside the existing iPhone 4 and potentially continuing to offer the iPhone 3GS as a low-cost device available for $349 without a contract.


The source reports that the next-generation iPhone isn't likely to sport a major redesign compared to the iPhone 4, suggesting that case manufacturers should have already leaked the new design if it was in fact different from the iPhone 4. With other sources adamantly reporting in recent weeks that the next-generation iPhone will receive an external redesign, the "will it/won't it" debate remains unsettled.
If this turns out to be true, it will mean there would be an iPhone 4S in addition to the prepaid iPhone 3GS available within the next month to two. Let's do one better, though. In addition to that news, we are told that Apple will continue to sell the current iPhone 4 as well, finally giving the company a full range of devices in the lower, mid, and high-end price segments.
Rumors of Apple releasing a low-cost iPhone carrying an unsubsidized price in the range of $350 have been circulating in recent weeks, with one analyst claiming that Apple will in fact be using the iPhone 3GS to fill that role, slashing its price to free on-contract and $399 without contract. The 8 GB iPhone 3GS currently retails for $449 unsubsidized.

Related roundup: iPhone 6

Top Rated Comments

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45 months ago
But the 3GS is more than two years old, even people interested in the low price will want something newer than that.
Rating: 27 Votes
45 months ago
I think the 3GS rumor is likely correct as Apple made a point of iOS 5 working on the 3GS

However, given how much a mixed bag iOS 4 is on the 3GS I wonder how well iOS 5 will run?
Rating: 10 Votes
45 months ago

Iphone 4S? Epic fail on Apple's part (and yes, I know they will sell millions). 15 months to put a new CPU in an iphone. Not impressed.


LOL! I love it when people say "epic fail" on Apple. Heard it with every update of every product and yet they still sell like hot cakes.

I'm just curious as to why keep the 3Gs? They should just go iPhone4 and 4s. I'm guessing the 4s will be much more than just a processor update.

Epic Fail... funny! :rolleyes:
Rating: 10 Votes
45 months ago
Currently in Europe you can buy a 8GB 3Gs for € 499,00 or a 16GB iPhone 4 for € 599,00, it's a no brainer which one you'd buy. If the gap increased to being more in the region of € 200 then I could see more people buying up older models.
Rating: 8 Votes
45 months ago

But the 3GS is more than two years old, even people interested in the low price will want something newer than that.


Even at two years old, many customers will still choose the 3GS over most droids. It is def not a bad baseline model.
Rating: 8 Votes
45 months ago
3GS without contract won't be successful for USD350. There are much better phones for the same price. Motorola Defy and Samsung Galaxy S are 2 of them.
Rating: 7 Votes
45 months ago
I'd have thought there would be some sort of antenna redesign in the next iPhone, even if it is called the iPhone 4S. Can't imagine they'd want to continue using that flawed design.

There was rumours of them moving the antennas around the band not that long ago though, so maybe the same design but the antenna breaks moved around.
Rating: 7 Votes
45 months ago
So a price drop of $50 for the iPhone 3GS would make more people buy an iPhone? I don't think so.

If they make the iPhone 3GS a $0 iPhone with contract, then they'll see great sales. Or if they make a cheaper pre-paid iPhone, then that will sell like hot cakes. Or sell the iPhone 3GS for $100 no contract.
Also, can we drop the iPhone 4S label? I think the WSJ post is most credible, and they explain why people are having difficulty predicting the next iPhone.

Btw, after the recent iPad 2 case manufacturers went to jail after leaking the case, I don't think many people will attempt the same.

I'm not buying it, and it's from my "incredibly credible source".
Rating: 7 Votes
45 months ago
I wonder if Apple is spreading all these rumours?

They are so contradictory, basically there is no information.
Rating: 7 Votes
45 months ago

I think the 3GS rumor is likely correct as Apple made a point of iOS 5 working on the 3GS

However, given how much a mixed bag iOS 4 is on the 3GS I wonder how well iOS 5 will run?


I must be in the minority. I hear loads of people complaining about iOS 4.x on the 3GS but it has always worked perfectly for me on mine since day one.
Rating: 6 Votes

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