Rumors of a low-cost iPhone from Apple has been one of the main topics on the Internet. Some Apple fans are genuinely excited about this, but as it turns out, this so-called low-cost iPhone might not be as affordable as some might think and those who are looking forward to this device, should keep their expectations low.

T.H. Tung, CEO of Pegatron, claims the low-cost iPhone is real, but it won't be cheap. Tung should know this, because Pegatron is a major Apple supplier and if he says that the low-cost iPhone won;t be cheap, we should stop expecting that it'll boasr a sub-$100 price tag.

Tung, in an interview with the ChinaTimes, and reported by CNET, said the price of the device would be "fairly high." Unfortunately, he did not provide a price nor a shipping date. Tung went on to say that compared to feature phones, smartphones are more advance and can do so many things, so the high prices placed on these devices are easily justifiable.

In recent times, Apple has chosen to shift some of its manufacturing work from Foxconn to Pegatron as the company did not want to rely on a single supplier. Furthermore, this move could have much to do with Foxconn's plan to branch out into creating hardware to rely less on Apple. One thing is for certain, the strong relationship between Foxconn and Apple could end up in shambles as both companies could become rivals in the coming years.

Apple's low-cost iPhone initiative has been a popular topic in the blogosphere - previous rumors suggest the device is shipping in large numbers and could cost $399, which is not exactly cheap when you take a step back and think about it. The phone is expected to have a curved design along with a lightning port, while the screen size should be similar to the currently available iPhone 5.