New reports hint Apple might break from its usual method of iPhone introduction protocol and discontinue production of the iPhone 5 when it debuts the phone's successor later this year. Instead, the company will only produce the iPhone 5s and iPhone Lite.
The latest rumor comes courtesy of ETNews via AppleInsider. If this is true, it would mean the iPhone Lite is changing the game more than people thought. Apple Inc. typically keeps the last two generations of the iPhone in production in order to have a low-cost phone on the market for lower-income earners. However, the company is rumored to be taking a big step in the direction of catering to low-income customers by creating a plastic-encased low-cost iPhone. It would make sense for the company to control the direction of iPhone succession for customers by offering only its flagship phone and the Lite. As of right now, people are graduating their phones once they become out-of-date, giving them a chance to switch to a Samsung or an HTC more frequently. With just the Lite and the iPhone 5s on the market, users might be able to stick with Apple for a bit longer and for a bit less cost.
As it stands now, the iPhone 5 is at the company's high-end, the iPhone 4s sits at the mid range and the largely out-of-date iPhone 4 is often given away by providers with a contract of some sort. By offering only the Lite and the iPhone, Apple can guarantee no customer is dissatisfied with his or her experience due to an out-of-date product.
According to the report, Apple developed itself into a corner. The iPhone 5's touchscreen technology, which uses in-cell technology to work, is not suitable for low-volume production. As a result, the company needed to figure out a low-cost option, hence the iPhone Lite.
Production is believed to have already begun on the iPhone 5s and it is likely to be announced sometime this fall, maybe even as early as September.