The Aakash 2 was recently released and is a prime example of just how easy it is for such countries such as China and India to completely circumvent the use of costly Apple products, as they even go about creating their own. That may soon change though.
India & China are two hot spots for the development of innovative and affordable mobile products, but neither country has any substantial consumers base that has embraced Apple products. In a recently run Daily Flux news article, it was concluded that: “Apple’s price points are simply too high to be sustainable in an international market filled with similar devices that can perform the same functions equally as well and with extremely less cost. And, that will probably be Android’s claim to fame in 2013, in a nutshell — unless Apple can meet similar economical price points for its iOS devices.” Well, it appears Apple sees the same problem, and is now taking action.
According to one analyst, Gene Munster, Apple is said to be developing a sub-$200 iPhone specifically for India and China to rectify their lack of sales in the two regions.
The Asian-Pacific portion of the world contains a bit more than 60% of the entire world’s population. On top of that, the region accounted for more than 50% of all smart-phone sales in Q3 of 2012. Owning Apple products for people in the regions is not the norm though, as the price for them is simply too high for most people in such parts of the world to afford them.
In America, a new iPhone 5 may costs only $200 if you get a deal on it through a carrier such as Verizon, AT&T, etc. because they subsidize the cost. Otherwise you’re typically looking at paying the average $599 or so for the latest iPhone. In the Asia-Pacific though, carriers almost never foot any portion, of any bill. Thus if one wants an iPhone, full price will usually have to be paid in order to obtain one.
In addition to Apple’s relatively exorbitant pricing, countries such as India are by no means lacking in technical sophistication and have even begun developing their own low cost mobile products is order to meet the demands of their citizens.
The latest move by Apple to make an inexpensive iPhone will more than likely not be able to stop the rise of the Androids, but it’s surely an attempt that must be made by Apple if there’s any hope for them in the international mobile arena.