There is no end to pleasant surprises that keep coming on an Apple fanboy’s road. While, none of us would have a doubt about the iPhone 5 coming our way sometime next month, the rumor world is overflowing with words of an “iCloud iPhone” – a much cheaper variant of the iPhone under works.

If the rumors are believed, then Apple is prepping a cheaper version of the iPhone code named the iCloud iPhone, which will be an iPhone sans flash storage, expecting the users to rely on the iCloud and other internet services to provide them with all their favorite music, videos and photos.
For the iCloud iPhone, Apple is expected to be aiming at a $400 unsubsidized price tag (keeping it free of a carrier contract, which Apple has never tried before). The iCloud iPhone otherwise will include the same parts as the iPhone 4, expect maybe the back panel, which will be of aluminum, like in the iPad 2.
Via: Electronista