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Smaller, cheaper iPhone model would help broaden appeal  (Source: Apple)
Could this finally be the iPhone nano?

Apple has one of the most popular smartphones on the market with the iPhone. The part that is so impressive is that Apple has managed to become one of the largest smartphone makers in the world on the back off relatively few iPhone SKUs whereas other makers like Nokia have hoards of devices to offer.

Apple is looking to broaden its appeal reports BloombergBloomberg cites sources familiar with Apple's plans that claim Apple has a cheaper and smaller smartphone in the works. The device is said to be about one-third smaller than the existing iPhone 4. This could well be the long rumored “iPhone nano”.

The source claims to have seen a prototype of the device last year and notes that the device was a prototype and Apple often develops prototypes that never launch. The source also claims that the smartphone has no Home button like the current iPhone uses and Apple is looking at a sales price of about $200 with no subsidies and no contract needed from carriers.

That would make this phone one seriously popular handset on pay-as-you-go networks.

Bloomberg reports that the smaller and cheaper second iPhone model is a move by Apple to grab more of the market to stave off the growing Android threat. Analyst Charlie Wolf from Needham & Co. in NYC said, "Instead of targeting 25 percent of the global mobile-phone market, Apple would be going after 100 percent."

Apple already owns 32.9% of the smartphone market as of Q4 2010 and a second phone that sells without a contract at a lower price would make that percentage grow. The smaller and cheaper handset would also allow Apple to target countries where consumers buy cheaper devices such as India and China.

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RE: Why?
By quiksilvr on 2/11/2011 2:36:45 PM , Rating: 4
You have to realize that there is a lot of wasted space on the iPhone front. All that room above and below is just unnecessary. Stretch it out to make it a 4" 16:9 screen and still maintain its surface area dimensions (4.5" x 2.4").

And yes, I did the math, you can indeed fit a 4" screen within those dimensions with enough bezel to spare.

RE: Why?
By sxr7171 on 2/13/2011 12:05:04 AM , Rating: 2
Boy that would be the greatest thing to happen to an iPhone. Imagine if the speaker were some kind of transparent NXT speaker that is in front of the screen. As for that button, you know they probably had gestures ready to go 2 years ago. But they always know when the market conditions dictate its inclusion.

RE: Why?
By quiksilvr on 2/13/2011 7:11:38 PM , Rating: 2
Actually you don't have to move the speaker that much (if at all). You will have more vertical bezel leftover than horizonal bezel space once you put a 4" 16:9 screen on there. Simply leave a bit more bezel up top and you are golden. Or just make the iPhone a whopping 0.1" taller.

"Google fired a shot heard 'round the world, and now a second American company has answered the call to defend the rights of the Chinese people." -- Rep. Christopher H. Smith (R-N.J.)
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