[Z]

I think people will just see through that... they ought to just work on an iPhone 6 and launch that at a cheaper price to undercut Samsung rather than backtracking on their iPhone 5, cheapens the concept of the phone rather than the price IMO - people will pay for quality but they're probably not going to be sucked in by a "budget iPhone 5" unless they're strapped for cash and really want an iPhone, which might include a lot of people but considering the number of ways you can get an expensive phone nowadays (e.g. pay a small fee up front and pay the rest off in monthly instalments) I doubt it's gonna suck in that many people.