Less Expensive Phone will seal China Mobile deal (PLUS SOME!)
Apple will soon announce a "Less Expensive" Iphone and the main reason for this launch will be to seal a deal with China Mobile AND to provide an affordable Apple-brand smart phone to over 700 million China Mobile customers! The U.S. really won't have a "need" for this less expensive device since Apple is still ruling with their high end/high margin
flagship Apple device (Iphone 5). The less expensive device will sell incredible quantities in China. My thinking however is that China Mobile will sell BOTH devices (the flagship and less expensive model) to satisfy the people in China with average to excellent incomes. Call this a huge victory for Tim Cook since his leg-in was to introduce the less expensive phone yet still get the Flagship in the hands of China Mobile subscribers who like the finer things in life. A win-win for Apple and a win by landing China Mobile!
Yes that is the great news . The cheap new iphone will be only 50% more expensive than galaxy3 but we are all sure china mobile will be still subsidizing the price as usa carrires do at least $400 to protect apple's 42% margins. There is no better phone that iphone in whole world and we all get very rich.