iCloud based iPhone?

If you have been following news regarding Apple’s next-generation iPhone, you’ve probably heard many varied rumors surrounding the device. One of them said that Apple was planning a rehash of the iPhone 4, as opposed to a brand new device. Basically it would be the iPhone 4 with an A5 chip.

It was then said that Apple would be releasing two devices. One would be the iPhone 5 and the other would be a cheaper iPhone that would be able to break into developing markets.

Well there are new rumors surrounding a possible cheaper iPhone, and instead of coming with the typical 16GB or 32GB storage, it will come with close to nothing. Instead it will be relying on Apple’s iCloud service where users will be able to upload their files. It is a pretty interesting concept and we can see why it might be cheaper as Apple would be able to save costs on the flash storage.

What do you think? Would a iCloud-based iPhone be something you’d be interested in if it was cheap?