DigiTimes, the WSJ, and Bloomberg have all reported that the company plans to release a low cost iPhone this year to address emerging markets. While Schiller didn't directly deny this, he did stress that Apple would only use the best technology available and that the company's future will never be cheap smartphones.
Schiller said, “Every product that Apple creates, we consider using only the best technology available. This includes the production pipeline, the Retina display, the unibody design, to provide the best product to the market.”
“At first, non-smartphones were popular in the Chinese market, now cheap smartphones are more popular and non-smartphones are out,” Schiller added. “Despite the popularity of cheap smartphones, this will never be the future of Apple’s products. In fact, although Apple’s market share of smartphones is just about 20%, we own the 75% of the profit.”
Despite these comments, one can simply look at Apple's iPod lineup to see lower cost alternatives to the iPod touch that wouldn't be considered cheap yet cost less and still use the best technology available.
TNW confirmed with Apple that this was an official interview.
Read More [via TNW]