Jefferies analyst Peter Misek says that Apple will begin production of the iPhone 5S at the end of the month, reports BusinessInsider.

He says the new iPhone is likely to be released in either late September or early October. It's not going to help the September quarter. He also says Apple has already begun production of its lower-cost iPhone, which he believes will sell for $300-$400, without a subsidy. At that price, it's more a mid-tier phone, and "it will not be competitive in emerging markets"

Misek believes that Apple will order 50-55 million iPhones in Q4 composed of 25 million iPhone 5S units, 20 million low-cost iPhone units, and 5 million iPhone 4S units. According to his checks, Apple has been shifting orders to reduce those of the iPhone 5S in favor of increasing low-cost iPhone orders.