Apple is expected to unveil two new smartphones next month. One of them is said to be a budget offering, a toned down variant of the iPhone, which is reportedly going to be called the iPhone 5C. A recent rumor had claimed that Apple would stop offering iPhone 4S and instead replace it with the iPhone 5C as the entry-level iPhone offering. In a note to investors today, famed analyst Ming-Chi Kuo of KGI Securities said that instead of replacing the iPhone 4S, the budget offering would instead replace iPhone 5. This move would essentially make the iPhone 5C a mid-range product instead of the low-end device everyone is making it out to be.

There’s just one problem that would remain if the iPhone 5C doesn’t replace iPhone 4S. Apple wouldn’t be able to phase out the old 30 pick dock connector which the iPhone 4S uses. If it were to be replaced by the company’s upcoming budget smartphone, the entire lineup would then become compatible with Apple’s Lightning connector. Recent rumors suggest that iPhone 5C might be priced somewhere between $300 to $400, customers would not be required to take up a service contract with a carrier. On the other hand, iPhone 4S would be offered for free with a two year contract. There’s no confirmation about any of these plans just yet, so its best not to form a notion right now about the upcoming iPhones.

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