Craziest iPhone 5S Rumor Yet Is Tough to Believe

The latest iPhone 5S rumor to arrive from Asia is that Apple plans to stop selling the iPhone 5 when it releases the iPhone 5S later this year.

According to the latest chatter from supply chain sources Apple will remove the iPhone 5 to increase sales of the iPhone 5S and make room for the rumored budget iPhone.

The first claim that Apple will stop selling the iPhone 5 this year arrived on Wednesday. CTech on Sina Weibo claimed Apple’s roadmap phases out the iPhone 5. Another report from Korean news publication etnews repeats the rumor adding that an inside source claims Apple will cease iPhone 5 production because it is unable to handle the demand.

Rumors claim Apple will stop selling the iPhone 5 when the iPhone 5S release date arrives, but they ignore the millions of old iPhone models sold every month.

Rumors claim Apple will stop selling the iPhone 5 when the iPhone 5S release date arrives, but they ignore the millions of old iPhone models sold every month.

A move like this isn’t unheard of. Google’s new Nexus 7 replaces an older model that disappeared from the Google Play Store and many online retailers. But, unlike Google, Apple has a long history of selling the previous iPhone model long after releasing a new one.

iPhone 5 Sales Too Low? Yeah, Right

According to etnews Apple plans to stop selling the iPhone 5 this year because parts used in it aren’t suitable for lower production. There is also mention of manufacturing capacity issues, though the translation is not completely clear.

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Even if the iPhone 5 parts are not easy to produce in low quantities that won’t likely be a reason to stop selling the iPhone 5. A recent report indicates 30% of the iPhones sold during December, March and June are the iPhone 4S.

With that in mind, and Apple’s recent claims of selling 31 million iPhones, it’s possible that Apple sold around 9.3 million iPhone 4S models during that time. In Q2 Apple sold 37 million iPhones, which could translate into 12.3 million iPhone 4S sales.

This chart shows demand for old iPhone models drops, but is far from low by industry standards.

This chart shows demand for old iPhone models drops, but is far from low by industry standards.

To put it into iPhone 5 terms, even with an iPhone 5S Apple could expect to sell three to four million iPhone 5 models per month. That’s not lower production by most smartphone manufacturer scales.

Add in the fact that many consumers, already aware of Apple’s history of offering a lower priced iPhone  in the fall are planning to buy the iPhone 5, not the iPhone 5S in a few months and it’s clear that demand for the iPhone 5 remains high.

These reports point to a cheaper iPhone taking the place of the iPhone 5 in Apple’s lineup. This plastic iPhone with color options continues to appear in rumors as a cheaper version of the iPhone, but it may not make it to the U.S.

The video below from DetroitBorg highlights the potential look of the new cheaper iPhone.

The latest realistic iPhone 5S rumors point to an iPhone 5S release date in September, possibly on September 20th. There are still conflicting reports about some details, but look for an iPhone 5S with a 4-inch display that uses the same design as the iPhone 5, but includes a better camera and faster processor. There is also talk of a better 12MP or 13MP camera with improved low-light performance.

While there are already iPhone 6 rumors, we don’t expect an iPhone 6 with a new design and possibly a larger display until 2014.

  

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