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Apple's Lower-Cost iPhone to Lack Retina Display?

iphone_3gs_obliqueRBC Capital Markets analyst Amit Daryanani has released a new research report today citing supply chain checks as the basis for predicting a June or July launch for both the iPhone 5S and a lower-cost iPhone, in line with other recent reports. Daryanani says, however, that the lower-cost iPhone appears set to omit a Retina display.
Our supply-chain checks indicate that AAPL is working to launch multiple new phones in the June/July time-frame this year. Specifically, AAPL will launch the iPhone5s and a more affordable but lower-end iPhone at the same time, in either late CYQ2 or early Q3. The low-end iPhone will have the same 4" form factor as the iPhone5 but will have plastic casing and no retina display. With a lower price-point, AAPL will be able to target a growing and important part of the Smartphone market (sub-$400 price-band).
Daryanani's claim of no Retina display for the lower-cost iPhone conflicts with reports from reliable KGI Securities analyst Ming-Chi Kuo, who has claimed several times that the cheaper iPhone's 4-inch display will carry the same 326 pixels per inch seen on all Retina iPhone displays released to date.

Daryanani's claims also raises suspicion because Retina displays are a long-established feature of Apple's iPhone lineup, with all the iPhone models currently offered by Apple supporting the feature. This includes the iPhone 4, which is offered for free with a two-year contract in the United States, although this new low-cost iPhone is said to be seeking to bring prices even lower to attract customers in markets where carrier subsidies are uncommon.

Just yesterday, Apple announced to developers that all apps submitted to the App Store must support both Retina resolution and the larger 4-inch screen of the iPhone 5 and fifth-generation iPod touch as of May 1. Apps can, of course, also support devices such as the iPhone 3GS using non-Retina displays.

Related roundup: iPhone 6

Top Rated Comments

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21 months ago
Considering they are not allowing Apps without retina support after May 1st, I highly doubt they will release a phone without a retina display.
Rating: 35 Votes
21 months ago
That would simply be terrible.
Rating: 28 Votes
21 months ago
For all of those saying that this phone does not make sense: in a lot of countries the subscription based model simply does not work. For instance, I pay only 5€ a month and I get free SMS and phone calls to all of those from my carrier. People don't want to spend 30 euros a month to get an iPhone. In the long run it is more expensive to do so than to pay full price. In Europe and other countries this is quite common
Rating: 13 Votes
21 months ago
Logically....this makes zero sense. They just announced yesterday that starting 5/1 they aren't approving non-retina apps. To suggest they would make a device without the screen is just sloppy work by the analyst.
Rating: 9 Votes
21 months ago
Back pedal!!!!

Mr Jobs at the launch of iPad 2 'We tested screens and the most optimum size was 10", let them make a 7", who wants that?'

.... Oooo iPad Mini has been launched!

Mr Jobs: Android too fragmented, budget phones pfft

... Budget iPhone!!!! (will someone tell me how they can run iOS6 on this if they can't run it on the iPad 1? ... And if they can't then isn't this fragmentation?)

Love someone who questions and has left the realm of the scammed

bye
Rating: 7 Votes
21 months ago
Makes sense. This 'new' cheap iPhone is likely just a slimmed down 3GS.
Rating: 6 Votes
21 months ago
I predict with 100% that

* when Apple releases new phones, we will know what is included, what they look like and how much they cost

* within days of that happening, photos of the disassembled phones will be posted on the Internet

* people will complain that Apple is not innovative

* photos of Chinese cases for the iPhone 6 tear-drop phone will appear on the Internet

Can we move on now?
Rating: 6 Votes
21 months ago
They didn't actually say what "non-retina" means. Having 652 PPI (double retina) might qualify as something other than retina.


Budget iPhone!!!! (will someone tell me how they can run iOS6 on this if they can't run it on the iPad 1? ... And if they can't then isn't this fragmentation?


It doesn't run on the iPad 1 because its CPU or GPU or RAM is inadequate. The screen costs more than all of those components combined. Getting a cheaper display means you have more flexibility to get a better CPU, GPU, and RAM.

Also, the iPad 1 is now 3 generations old.

Also, it's always possible the system requirements for iOS 7 will be less than they were for iOS 6. Although that's not very likely.
Rating: 5 Votes
21 months ago

so long, Apple brand= quality product.


quality can be low cost.

i dont get the hate.

i see poor college kids with iphones why cant a 3rd world person get their iphones? :mad:
Rating: 4 Votes
21 months ago

This would be horrible. Apple doesn't need to cheapen it's brand this way. Steve never wanted a crap product and non retina display in 2013 is no longer acceptable.

The iPhone 4 is free now, how can you get cheaper than that unless you are talking about buying a phone off of a contract. In a situation like that someone still in a 2 year contract has at least an iPhone 4 with retina display, if you have a 3GS no are no longer in a contract (or soon won't be) a non-retina device will not be an upgrade for you. If you don't have an iPhone or a contract the 4S should be the phone that's going to be free on a 2 year contract soon.

The only way this makes sense is if Apple simply wants to sell a cheap phone for people who don't like contracts or wants to make a cheap 4" display phone so that 3.5" displays are completely phased out.


It's not just a matter of "liking" contracts, some international carriers simply don't offer them or conditions are so bad compared to the US that it's not worth it.

You also didn't consider that some contracts are longer than 2 years and lots of people still sign contracts for older generation iPhones (look at the latest sales charts).

For example, in Canada, where iPhone contracts last 3 years, it would be possible for someone to still be under contract with a 3GS in 2015.
Rating: 4 Votes

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