The Motherlode of iPhone Rumors: Apple Will Release Two This Fall

The comparative glut of rumors around the new iPhone may have a very simple explanation: Apple is building two new phones to be released in September. Chris Whitmore, a vice president at Deutsche bank and known Apple prediction-maker, told his clients in a note Monday morning that Apple is planning to release both a contract-only iPhone 5 and a cheaper prepaid iPhone 4S model.

"With Nokia and RIMM struggling," Whitmore argues that "the time is right for Apple to aggressiveley penetrate the mide range smart-phone market (i.e. $300-500 category) to dramatically expand its [total addressable market] and market share."

The iPhone 4S, Whitmore says, would likely sell at $349 and include an unlocked headset and a prepaid voice plan. The recent release of an unlocked iPhone 4 shows an openness to work outside of carrier relationships and breakdown of plans show that Apple may be missing out on a huge pre-paid market.

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