[credit provider=”Associated Press”]
Apple is considering a cheaper iPhone to increase its marketshare, but what many people have been calling an iPhone “Nano” will not be physically smaller, according to a report by the Times.We figured as much earlier, and it’s what makes the most sense. A smaller iPhone would further fragment the iOS platform and require Apple to build an all new device, which is really complex. What would make sense instead would be an improved iPhone 5, and an “iPhone Nano” (or whatever it’s called) which is really an iPhone 4 with less memory and maybe a lower resolution screen which can sell for cheap.
In any case, this shows that Apple is getting scared of Android. Going for cheap and mass volume is out of character for Apple. But Steve Jobs probably remembers the 80s well, when there was another platform war, and remembers that whichever platform attracts the most consumers and developers eventually wins. Google is undercutting the iPhone and gaining marketshare, so Apple needs to respond somehow.