Apple replaces iPad 2 with iPad 4, launches cheaper iPhone 5C

Tue Mar 18, 2014 9:26pm IST

An illustration picture shows application icons on an Apple Ipad tablet held by a woman in Bordeaux, Southwestern France, February 4, 2013. REUTERS/Regis Duvignau/Files

An illustration picture shows application icons on an Apple Ipad tablet held by a woman in Bordeaux, Southwestern France, February 4, 2013.

Credit: Reuters/Regis Duvignau/Files

Related Topics

Stocks

   
A statue of Ganesh, the deity of prosperity, is carried in a taxi to a place of worship on the first day of the ten-day-long Ganesh Chaturthi festival in Mumbai August 29, 2014. REUTERS/Danish Siddiqui

Ganesh Chaturthi Festival

During Ganesh Chaturthi idols will be taken through the streets in a procession accompanied by dancing and singing, and will be immersed in a river or the sea in accordance with Hindu faith.  Slideshow 

(Reuters) - Apple Inc (AAPL.O) said it would offer an iPad 4 tablet in place of the mid-range iPad 2 at the same price and the company launched a cheaper, lower capacity version of its plastic-backed iPhone 5C in Australia, China and some European countries.

The iPad 4 is available at $399 for the 16GB Wi-Fi model and $529 for the 16GB Wi-Fi + cellular model at the four major U.S. carriers - AT&T Inc (T.N), Sprint Corp (S.N), T-Mobile US Inc (TMUS.N) and Verizon Communications Inc (VZ.N).

The fourth-generation iPad, which has a 9.7-inch Retina display and supports 4G carriers worldwide, was launched in 2012, while the iPad 2 was launched in 2011.

Apple discontinued the iPad 4 last year when it launched its current flagship tablet, the iPad Air. The company had cut the price of iPad 2 to $399 in 2012.

Tablets based on Apple's iOS platform held 36 percent share of the market in 2013, trailing those based on Google Inc's (GOOG.O) Android software that had 62 percent share, according to research firm Gartner.

Apple also launched on Tuesday an 8GB iPhone 5C priced at 429 pounds, 40 pounds cheaper than the 16GB version, according to the company's UK website. (link.reuters.com/vyx67v)

The 8GB iPhone 5C will also be available in France and Germany.

"We believe this newly configured device will have a lower gross margin as we estimate the difference in cost to Apple for the 8GB of NAND is $5 to $10," Cross Research analyst Shannon Cross wrote in a research note.

Analysts have said earlier that the iPhone 5C, which is about $100 cheaper than the iPhone 5S, was unable to grab market share from rivals offering lower-cost phones based on Android.

Apple's shares were up 0.5 percent at $529.60 in noon trading on Tuesday on the Nasdaq.

(Reporting by Sruthi Ramakrishnan in Bangalore; Editing by Sriraj Kalluvila and Kirti Pandey)

FILED UNDER:
Comments (0)
This discussion is now closed. We welcome comments on our articles for a limited period after their publication.

  • Most Popular
  • Most Shared

Tech for health

Reuters Showcase

Wearable Gadgets

Wearable Gadgets

Swatch prefers go-it-alone route for smartwatch plans.  Full Article 

Google Drones

Google Drones

Google tests drones for deliveries.  Video 

New iPhone

New iPhone

Apple working with NXP for pay-by-touch technology in new iPhone - FT.  Full Article 

Legal Case

Legal Case

Bitcoin promoter to plead guilty to unlicensed money transmission.  Full Article 

Online Crackdown

Online Crackdown

China's Tencent shuts messaging accounts after censorship rules - state media.  Full Article 

Hot Commodity

Hot Commodity

Data scientists are increasingly becoming important to the world's tech companies.  Video 

Agriculture App

Agriculture App

CME Group smartphone game lets students "beef up" on ag economics.  Full Article 

Copyright Dispute

Copyright Dispute

Oracle loses bid to restore $1.3 bln SAP verdict, could get new trial  Full Article 

Reuters India Mobile

Reuters India Mobile

Get the latest news on the go. Visit Reuters India on your mobile device.  Full Coverage