Apple will reportedly step up its efforts in emerging markets later this year when it launches a new “lower-cost” iPhone alongside the flagship iPhone 5S. According to a new report, however, the new entry-level iPhone might not be inexpensive enough to compete with the flood of dirt-cheap Android phones and Nokia’s Asha lineup.

During the company’s shareholders meeting on Thursday, Pegatron CEO Tong Zixian reportedly dismissed rumors that Apple’s upcoming entry-level iPhone will be cheap. “[The] price is still high,” Tong said, according to China Times. His comments suggest that rather than battle the likes of Nokia, Samsung and white-box vendors in emerging markets, Apple may simply be looking to expand its mobile portfolio in markets it already addresses.

Recent reports suggest components for Apple’s entry-level iPhone recently began shipping, and the handset is expected to launch this fall.