32GB iPhone 3G Making Its Debut at MacWorld 2009?

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Posted by Aviv on November 3, 2008 at 9:58 am PST

An anonymous tip reveals information of a 32GB iPhone making a debut at MacWorld 2009. The new information correlates with on-going speculation that Apple will diversify and expand its iPhone family line-up, even though 4th Quarter production rates have been decreased.

iPhone Flash A while back Apple Insider first reported about 8GB iPhone supplies running low, which was then believed to be pointing at a possible upgrade, or boost in storage. Following the first report of decreased supplies, the news and follow up supply checks were topsy-turvy at best. Although speculation has most likely been accurate, the natural evolution for Apple’s iPhone would be a doubling in storage. The 8GB iPhone will be discontinued, and Apple will offer 16GB and 32GB models, alongside some new less expensive model(s), aimed at diversifying its iPhone line-up.

Previous reports of Apple hoarding nearly 50 million Samsung NAND chips align with this new information. The flash memory market is still pretty shaky, so Apple’s “long-term-strategy” could very well have already been decided. The tipster claims to work with a third party iPhone accessory supplier, and to be in the know when it comes to the iPhone’s short-term roadmap. I have never received a tip from them before, and although I would take this information with a grain of salt, it could very be well be dead on.

“That rumored red iPhone… It’s not happening. The only iPhone news I know for certain is that it’s getting bumped to 32GB in January.”

iPhone Flash Related speculation has has led many to believe that Apple will sell a $99 iPhone next year, while others believe that Apple will introduce more iPhone models broadening the product line. Rumors of a (PRODUCT) RED iPhone have been circulating for over a year, as well as the much rumored iPhone nano.

In order to sell a less-expensive iPhone, priced (let’s say) at $99, Apple would need to introduce a new model with less storage. The current models would get bumped in specs, and a cheaper iPhone would be introduced and outfitted with less storage than its bigger brothers. The current 8GB iPhone would have absolutely no place in this line up, and will probably be discontinued. At the same time, for Apple to increase or double the iPhone’s storage, they would need to either raise the price, or increase the iPod touch’s storage capacity as well, in order to avoid significant cannibalization, or confusion among consumers.

Theoretically, the iPhone family would have a diverse selection of products, just like the current iPod line-up. Perhaps not as many models or choices in color, but the storage capacity and features will be spread across the products, lowest to highest, priced accordingly. In what initially might seem to conflict, Friedman Billings Ramsey analyst Craig Berger has reported today that “Apple has cut its calendar Q4 iPhone production plans significantly more than originally estimated.” Chances are Apple is cutting production (on current iPhone models) to level out with industry demand. Although extremely difficult, the company must have the ability to foresee downturns in the industry, and mobile market.

Seeing as how Apple has already smashed their goal of selling 10 Million iPhones, and the device has become their biggest sector of business, increased diversification across the line makes complete sense. Cutting production on current iPhone models should in no way affect Apple’s plans for expansion with the iPhone.