Is Apple Working on a Cheaper, Smaller iPhone?

Peter Burrows and Greg Bensinger, for Bloomberg:

One version would be cheaper and smaller than the most recent iPhone, said a person who has seen a prototype and asked not to be identified because the plans haven’t been made public. Apple also is developing technology that makes it easier to use the iPhone on multiple wireless networks, two people said.

Apple has considered selling the new iPhone for about $200, without obligating users to sign a two-year service contract, said the person who has seen it.

$200 with no contract sounds great. But: what about lower-priced monthly service plans? That’s the biggest cost of any smartphone today.

★ Thursday, 10 February 2011