Apple recently received PCS Type Review Certification Board approval for iPhone models that range in capacity from 4GB to 32GB, according to a trusted source cited by Engadget.
Since the iPhone was first released, analysts have been clamoring that Apple needs to release a cheaper iPhone model if it wants to maintain significant growth. This eventually led to speculation that Apple was planning to release a smaller form factor iPhone, affectionately referred to as an iPhone Nano. Such a product, however, makes little sense as a smaller sized iPhone would defeat the purpose of the iPhone in the first place.
A cheaper iPhone in the form of limited storage capacities, however, makes a whole lot of sense.
Apple has never been opposed to releasing a cheaper iPhone, it just wanted to wait until the timing made sense. In a similar vein, Apple patiently waited for the opportune time to release the original iPod Mini, and that device eventually became Apple’s best selling iPod. Now that the next iPhone model will sport a storage capacity of 32GB, it now makes sense for Apple to sell lower capacity iPhone models at lower prices, with the trade off being that users would only be able to load up a limited number of songs/video/ and applications. For users simply looking for a sophisticated Internet communication device (to borrow a phrase from Jobs himself), a 4GB iPhone priced at $149, or even, dare I say, $99, would be too good of a deal to pass up.