Apple Will Cut The Price of iPhone 3GS and Distribute It On Emerging Markets
Words are circulating around that Apple has agreed to distribute its older smartphone models to various prepaid markets around the world. The iPhone 3GS currently sells for $375, unlocked and without contract. Due to advances in Apple’s production line, the phone could eventually be available between $250 and $350.
Users in United States can get the iPhone 3GS for free with two year agreement. It now serves as the entry level model, with the iPhone 4S as the premium model. Apple is expected to release the 6th generation of iPhone, which may lead to the discontinuation of the iPhone 3GS.
But apparently the commercial life of iPhone 3GS won’t end too soon, as it will find itself in the emerging markets. Emerging markets are typically considered as large untapped sources of potential customers that still find an older iPhone model useful. Some researches showed that emerging markets have many more younger people compared to North America and Western Europe markets.
It is quite clear that in developing countries, smartphones priced below $300 are more preferred than iPhone. An iPhone 3GS priced at $300 is certainly attractive, however Samsung Galaxy W, which is sold at the same price; has faster processor, bigger display with higher pixel density, higher resolution camera and longer battery life, not to mention being lighter and thinner.