Welcome iPhone 5C, goodbye iPhone 5. 

This might be the scenario in Apple outlets in October as an analyst revealed that the iPhone 5C might not be THAT cheap after all. 

Mingchi Kuo, analyst at KGI, said in a statement that Apple's allegedly 'cheaper' brand would be priced similarly to today's iPhone 5. As a result, the price of the iPhone 4S would take on the budget market, while iPhone 5 would disappear from the shelves completely. 

"'iPhone 5C to replace iPhone 5, while iPhone 4S goes on. We've learned that the iPhone 5 line will be terminated from 4Q13, while the iPhone 4S line will carry on. From this, we infer that iPhone 5C is launched to replace iPhone 5. In other words, the 5C model will be positioned as midrange. We forecast its retail price to be US$400-500. We expect iPhone 5S, iPhone 5C, iPhone 4S and iPhone 4 will fall into the price ranges of US$600-700, US$400-500, US$300-400 and US$200-300, respectively, in the new product cycle. Since iPhone 4's specs may not be adequate to run on iOS7, we think this line may be terminated," Kuo said according to KnowYourMobile.

The 5C is expected to hit China in October, and then be available to other parts of the world by fourth quarter. Although it initially seemed that both the 5S and 5C will be released at the same time, it would still depend if carrier China Mobile will include the latter in its lineup of available offers. 

With this recent development and possible scenario once the iPhone 5S and 5C are released, Apple will have the opportunity to control its supply chain and costs, while not directly messing with the lower tier market, commented by Phone Arena on the news.