A Cheaper iPhone, Why Not?

Apple is preparing to launch not one, but two new devices with Verizon, according to yet another new rumor. The leaked product details about an alleged “iPhone lite”. The rumor sprung up after Verizon Wireless CEO Lowell McAdam confirmed that the company has spoken with Apple executives. “In the last six months.

Although McAdam would not say what the two companies discussed, two people familiar with the subject said talks covered the new smaller iPhone-like device under development. Representatives of Verizon Wireless and Apple declined to comment. AT&T spokesman Mark Siegel says: “We are delighted with the iPhone and our partnership with Apple.” The company declined to make an executive available.

AT&T by the way, has been the only carrier of Apple’s iPhone in the U.S., adding more than 7 million subscribers as a result of the arrangement; the company is reportedly in talks with Apple to extend the partnership, due to end as soon as next year. An agreement to distribute Apple communication devices via Verizon Wireless may cost AT&T some of the business it has gained as the sole Apple carrier. Even if Verizon Wireless and Apple fail to strike a deal, talks between them increase pressure on AT&T to accept partnership terms favorable to Apple.

Now it’s not surprising for Apple to launch a smaller and cheaper version of it’s popular products, The ipod with it’s ipod shuffle, the Mac with Mac mini, Why not iPhone? as competitors trying to get a slice of the market with similar products. launching a cheaper version of it’s product would surely make it harder for the competitors.