On Tuesday September 20th, Apple released 2 new products: the iPhone 5S and 5C. The 5S, being the higher end product, will be available in 3 colours: silver, gold and “space grey”. If bought without a contract and unsubsidized direct from Apple, the 16 GB iPhone 5S will cost $719. Some of the new features on the phone include a Touch ID, which reads fingerprints at a “detailed level,” and a new processing chip which will allow the phone to run twice as fast. The latter product, the iPhone 5C, which is a cheaper, and a more colourful version of the phone, will be released in green, blue, yellow, pink and white, with a starting price of $599 for the 16 GB version.
This is the first time apple has released two separate tiers of the iPhone. It was a fantastic decision for them to do this because the cheaper version appeals to an entire new market that had never thought of buying an iPhone because it was too expensive, while the 5S keeps its high-end users satisfied. This is the companies first major shift in mobile strategy since the first iPhone’s release in 2007. Other phone companies such as android and samsung have been dominating the budget-conscious consumer market for quite sometime now and this new product now gives people the chance to buy the strong brand name of Apple with a cheaper product.
Regarding Apple’s new release of their line of iPhones, how do you think their higher prices will impact the smartphone industry and whether or not they will continue to succeed in sales?
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