Yeah, don't pretend like you didn't see this one coming. Completely unsubstantiated "market sources" rumors are making the rounds that Apple is already prepping a lower cost iPhone variant. Warning: completely mundane "analysis" follows. According to American Technology Research analyst Shaw Wu, "Apple needs to round out its iPhone product line at lower price points (similar to iPod) if it expects to replicate the success of its iPod with sales of 100 million units." Shaw Wu has been right on a couple Apple predictions in the past, but it doesn't take much to guess that Apple is currently at work on, or at least thinking about, a second generation of iPhone. Price drops also seem inevitable, and Shaw's predictions hold few surprises. He claims to have heard of "lower cost iPhone prototypes for release at unspecified future dates" from his sources, and maybe he has, but we're not going to start proclaiming Apple's dominion over all form factors and price points (as entertainingly conceptualized above) just yet.

[Via The Raw Feed]

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Apple prepping a cheaper iPhone? Probably.