Apple working on smaller, cheaper iPhone: report

SAN FRANCISCO Thu Feb 10, 2011 6:00pm EST

The Apple Inc. logo is seen in the lobby of New York City's flagship Apple store January 18, 2011. REUTERS/Mike Segar

The Apple Inc. logo is seen in the lobby of New York City's flagship Apple store January 18, 2011.

Credit: Reuters/Mike Segar

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SAN FRANCISCO (Reuters) - Apple Inc is working on a smaller and less expensive version of the iPhone, Bloomberg reported on Thursday, citing sources.

The prototype device is about one-third smaller than the iPhone 4, the report said, citing a person who had seen it.

Apple has considered selling the new iPhone for $200 without a two-year wireless contract, Bloomberg reported.

Apple is aiming to unveil the device around the middle of this year, but the launch may be delayed or canceled altogether, the report said.

Apple did not respond to a request for comment.

The company often develops products it never brings to market.

According to the report, Apple is also working on a dual-mode phone that would be able to work with the world's two main wireless standards.

AT&T, which carries the iPhone on its wireless network in the United States, declined to comment. Verizon Wireless, which also carries the device, could not be reached for comment.

Shares of Cupertino, California-based Apple closed down 1 percent at $354.54 on the Nasdaq on Thursday.

(Reporting by Gabriel Madway and Sinead Carew, editing by Matthew Lewis)

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Comments (1)
Patty7 wrote:
Wonder if Slim Carlos will give the go ahead for Net10 to add this to their list of phones available? Would go beautifully with their unlimited plan, and by the looks of things at a competitive price too. As for a dual mode phone, that would work fantastically with the mvnos that run off both cdma and gsm. Will really change the status quo!

Feb 13, 2011 9:11am EST  --  Report as abuse
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