Apple restarting iPhone 4 production for India and other markets

iphone 4 on table blacked out

Apple has reportedly resumed production of the discontinued iPhone 4, according to a new report. Citing sources familiar with the company’s plans, The Economic Times is reporting that Apple hopes to sell the handset in places like India, Indonesia, and Brazil.

The Mac-maker is hoping that the device will help it recoup market share in these countries and other developing markets, where few carriers offer subsidies on their smartphones and prices of consumer electronics tend to run much higher than the global average…

Here’s The Economic Times:

“Apple has broken with tradition and revived the production of iPhone 4 just for India, Indonesia and Brazil, said three senior executives with direct knowledge of the company’s plan.

The maker of iPads and MacBooks is betting the lower price point will help it wrest volumes from Samsung’s Grand and S4 Mini, and recoup market share that has slumped, largely because it didn’t have phones that were cheap enough.”

The site goes on to say that Foxconn has already begun producing these new iPhone 4 models, and points out that this is the first time in Apple’s history that it has resurrected a discontinued product. Production of the iPhone 4 ceased following the 5s launch last fall.

And to be honest, it’s probably a smart move. The entry-level iPhone 5s sells for nearly $900 in India, which is obviously pretty pricey in a country where carriers don’t subsidize handsets. The 8GB iPhone 4, however, sells for a much more manageable $360 at full retail.

Many were hoping Apple would price the iPhone 5c in the $300 range. Obviously it didn’t, so it’ll be interesting to see how this strategy works. Can it sell old hardware in developing markets and be successful, or will it need to make a brand new, low-end iPhone model?