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Friday May 27th, 2016 4:45AM

Apple says 2 new iPhone models coming this year

By The Associated Press
CUPERTINO, Calif. (AP) -- Apple says it is planning to release two new iPhone designs later this year so it can serve more customers.

The iPhone 5C, which will be available in five colors - green, blue, yellow, pink and white. CEO Tim Cook calls it "more fun and colorful" than any other iPhone. The 5C has a 4-inch Retina display and is powered by Apple's A6 chip. It also has an 8 megapixel camera, live photo filters and a rear cover that lights up.

The iPhone 5C will cost $99 for a 16 gigabyte model and $199 for a 32 gigabyte model with a two-year wireless contract.

THIS IS A BREAKING NEWS UPDATE. Check back soon for further information. AP's earlier story is below.

Apple says its next mobile operating system, iOS 7, will be available as a free download on Sept 18.

Craig Federighi, head of software at Apple Inc., said at an event at the company's Cupertino, Calif., headquarters that "downloading iOS 7 is like getting an all new device."

The new system can be downloaded on the iPhone 4 and later models, as well as on the tablets beginning with the iPad 2.

Apple also says it expects to ship its 700 millionth iOS device next month. Apple CEO Tim Cook predicts that iOS 7 will become the most popular mobile operating system in the world.

The company is expected to unveil new phones later Tuesday.
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