Apple supplier Pegatron has said it will increase its workforce in China by up to 40 per cent in the second half of 2013, suggesting that it could be working on assembling a new cheaper model of the iPhone.
Pegatron, which is based in China, currently employs 100,000 staff, meaning that an additional 40,000 staff would be employed under its new plans.
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Pegatron's CFO, Charles Lin, told Reuters that 60 per cent of the company's annual revenues would come in the second half of 2013 - in sync with the time period in which Apple usually launches its latest devices.
Earlier this week, ETrade Supply International, an electronics parts distributor and technology solutions provider, wrote in a blog that it had heard "on the wind" confirmation Apple will be releasing a low-cost iPhone before the end of this year.
Apple's cheaper device would be able to compete with Android-based phones from the likes of HTC, Acer and Huawei that cost as little as £100.
Average selling prices for iPhones and iPads have fallen, but Apple revenue has climbed as a result of growth in sales of lower-priced models like the iPhone 4 and 4S, and the iPad Mini.
