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'Free' iPhone 3GS Could Follow iPhone 5 Launch, Says Analyst

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A new rumor claims that Apple will offer free iPhone 3GS units after the launch of the next iPhone, according to Boy Genius Report.

The rumor comes from an investors note, written by RBC Capital Markets General Manager Mike Abramsky. The note claims that Apple will give away iPhone 3GS units, provided users purchase a two-year wireless contract.

The move could be a strike against Android devices, which have a stronger hold on "mid-market smartphone buyers" than Apple's iPhone line, according to BGR.

Following a new product launch, Apple frequently slashes the price of older-generation models from the same line. For example, when the iPad 2 launched earlier this year, Apple cut the original iPad's price from $499 to $399.

Another rumor earlier this week stated that Apple may even offer a low-end, contract-free iPhone model later this year. Such a device, analysts say, could potentially be Apple's window into the mid-range market, as well as its breakout handset in developing markets around the world.

What do you think about a $0 iPhone offer? Weigh in via our QuickPoll (below).

Quick Poll

Would you sign a two-year contract if it meant a free iPhone 3GS?

Absolutely!

No way.

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