Comment by alecsmart1

If someone can afford a $549 phone, they most probably can afford a $649 phone. At this price range, it's not really a rational decision. It's how desirable the product is (which Apple is very good at projecting). So the customer might as well go all the way and get the top of the line phone. Well I would. Imagine spending $549 and then your friends saying "Oh, but its not 5S".