Apple Releasing 2 New iPhones? Doubtful

By now, we have heard a dozen of rumors about the next generation iPhone and the features that it will offer. It will most likely have a faster processor, better cameras, and a slightly larger screen. We have heard rumors that Apple might release a budget-iPhone to expand its reach in the smart-phone business. Considering that Apple is a premium brand, this move was always unlikely right from the start. As BMO Capital’s Keitch Bachman suggests, iPhone-lite is already out there:

we believe that the [existing] 3GS will be the low-end iPhone

There are other analysts who are not quite buying this story. It will be a risky move if Apple decides to release two iPhones at the same time. Some have suggested that the next iPhone release will be called iPhone 4s and will only be an evolutionary upgrade over iPhone 4. The company has pulled off such a move in the past but it is not clear how an evolutionary upgrade to the current generation iPhone could stand against the high-end Android handsets that will make their debut later this year.

Apple’s future products will most likely not include chips from Samsung. Apple and Samsung have not had the best of relationships. With Samsung being accused of copying Apple products heavily, the break-up between the two was inevitable. TSMC and Intel are rumored to be in play to replace Samsung. As Piper Jaffray’s Gus Richard put it:

Apple needs to maintain control of its microprocessor architecture and software to differentiate its products, protect its IP and slow copy cats. Based on these assumptions, we think Apple and Intel could benefit by working together.

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The next generation A-processor is expected to be a quad core one (most likely for iPad 3). It will be interesting to see how Apple can integrate such a powerful processor into its products without affecting their battery life.