Apple, after facing too much competition from its major rival  Samsung & others smartphone companies, rumors are roaming that now apple is planning to launch a  budget-friendly and low cost phone to boost its market share & earnings.The much rumored budget iPhone will borrow many elements from the current model but use a plastic design , will look like the iPhone 5, take some cues from the iPod Touch and the iPod classic. Like the current iPhone, the low-cost version would sport a 4-inch 1,136×640 pixel Retina Display and use the new Lightning interface. The sensor, camera, and button arrangement would all match those found on the iPhone 5. The screen itself would stick with Gorilla Glass, say iLounge’s sources, but the body would be made of plastic. The bottom of the phone would take its design from the iPod Touch. Like the Touch, the volume buttons would adopt an elongated pill shape instead of the more circular design from the last few iPhones. The back of the phone would be home to the camera, microphone, and rear flash with the same layout as that on the latest iPod Touch. Finally, the overall shape would be similar to the one found on the classic iPod.

At the same time company thinks a larger-screen iPhone like Samsung Note 2 & HTC one  would help Apple win more customers.

The analyst’s sees around 36.5 million such iPhones sold in fiscal 2014 at an average non-subsidized price of $300. Assuming that projection comes true, the lower-cost iPhone could add $11 billion in revenue to Apple’s next fiscal year, which kicks off in October.

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