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iPhone 5S Price Drops to $125 at Best Buy, iPhone 5c Available for Free

The iPhone 5S price will drop to just $125 this weekend at Best Buy as the retailer is holding a special New Years promotion.

The new deal will be available on the 16GB model and will slash the price significantly from its normal $199 tag. The retailer will also offer the 16GB iPhone 5c for free. In order to receive the discount, customers must purchase the devices with a new contract from any of the major carriers.

The sale will last through Jan. 4 and is available in-store and online.

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Apple is also offering $100 off 13-inch non-Retina MacBook Pros in-stores.

Apple is expected to release the next-gen iPhone later this year and many of the recent rumors regarding the handset point to it featuring the company's next-gen A8 chip.

TSMC will handle a bulk of the processor's production with the other part being taken by Samsung. Despite Apple's attempts to reduce its dependence on its Korean competitor, the company will also split the production of its A9 chips between both of these companies, according to a new report from DigiTimes.

Samsung has signed a contract to produce 30 to 40 percent of Apple's 14-nm A9 chip family in 2015 with TSMC handling the bulk again.

A previous report that surfaced in July was the first to link Samsung with the A9 chip stating that the company signed a deal to cooperate in producing these processors based on a 14-nanometer process node.

Samsung has worked with Apple for quite some time and played a serious role in the production of the A7 chip found inside the iPhone 5S. The chip produced at a smaller 28-nm node compared to the 32-nm A6.

The A8 chip will end up being for the iPhone 6 which is also rumored to feature a 4.9-inch display.

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