Apple Inc. (NASDAQ:AAPL)’s iPhone 5 or iPhone 4S – Buyer’s dilemma

After weeks of speculation in the media, Apple Inc.(NASDAQ:AAPL) launched the iPhone 5 yesterday. Its special features notwithstanding, many feel that the old iPhone 4S may still be a steal.

The new iPhone unveiled on Wednesday will be available for pre-booking on September 14 and will go on sale from September 21. The price starts at $199 for a 16 GB model, with a two year contract via AT&T, Sprint or Verizon thrown in. However, 4S users and potential iPhone buyers are in confusion over which phone to purchase. This is because, the Cupertino based company has slashed the price of the 16 GB model of the iPhone 4S to $99 and also offered a new two year contract with a carrier.

Not only that, 4S users will also get Apple’s new operating system iOS6 as a free upgrade. This will give them access to new features like updated iTunes, the new Passbook service which allows to store loyalty cards and ticket bar codes, an improved Safari browser and an enhanced Siri.

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Despite all these features, the iPhone 5 with its greater processing capabilities is still a better phone. It supports faster 4G LTE data networks, has a longer battery life and a significantly enhanced camera that shoots 1080 pixels video with the rear-facing camera and 720 pixels video on the front-facing camera. The new iPhone is also  “the thinnest smart phone in the world” with a depth of only 7.6mm. And while the iPhone 4S weighs 112 grams, the new iPhone is 20% lighter and will surely be preferred by consumers. And the large 4 inch screen, compared to the 3 1/2 inch screen available on other models is the icing on the cake.

Surely, a tough choice for the consumer to make!

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