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Apple has decided to cut orders for iPhone 5 parts by nearly half in reaction to weak demand. This comes as a surprise to some as Apple has played a dominant role in the smart phone industry for years. Apple seems to have made the same mistake as BlackBerry, their predecessor. Apple has become conceited and has made a 'one size fits all' product. This has left room for developers to come at Apple from all angles. Apple once had the only phone on the market that 'just worked.' The value of owning an iPhone has also decreased as the Android OS and Windows Mobile have come of age. These once akward operating systems have become much more stable and easy to use through years of development.
My recommendation for Apple is to have two lines of phones. This is different than their current two generations of phones strategy, where they sell the current and old version simultaneously. Apple could sell a dominant phone with a large screen and powerful processor and a phone that 'simply works.' The 'simply works' phone should have a smooth interface and keep the apple look. The iPhone 5 or 4S would be perfect for this situation. Then, Apple should create a flagship device that shows people what Apple is capable of producing. This is the way Corvette helps sell Chevy.
http://online.wsj.com/article/SB10001424127887324235104578241051730364998.html

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