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Google drops Nexus 4 price, Now Offered At $199

Recently a news start swirling that Google has dropped down $100 price of its flagship Nexus 4, because in order to compete with the upcoming iPhone 5C (cheap model of flagship iPhone). Now after this drop down 8GB Nexus 4 is available for only 199$ and 16GB variant is listed at $249.   
Last year after launch, Nexus 4 price remained at $299 and $350 on play store, it’s quite astonishing that price of device drop down first time after its launch. Google Nexus 4 8GB variant was initially launched at $300 (unlocked version) while 16 GB model was available at $350(unlocked version). Now both devices after drop down are available at $100 less price.
Gadget experts are seeking this discount as a pre-empt action before Apple cheap iPhone 5C, a device which is expected launch at very low price and will have plastic body and features equivalent to iPhone predecessor models. This device is planned in order to challenge all cheap Android smartphones including Nexus 4.    

So far iPhone 5C launch date is under the cover but still we have rumours suggesting that iPhone 5C will be launched alongside flagship iPhone 5S and most probably launch event will held on September 10th.  Although device cost and launch event place is not unclear. Rumoured price tag of cheap iPhone 5C is $400 and device has centered to touch customers who wants pocket friendly device.  
Another reason of this drop down might be arrival of successor of Nexus 4, for last few weeks’ rumors are fluctuating recommends that Google probably will drop down its Nexus 4 price in order to set path for Nexus 5. Nexus 5 is expected to launch later this year with Android key lime Pie (Android 5.0). Device is expected to launch from same manufacturer who manufactured Nexus 4 i.e. LG.
As far release of Nexus 5 is concerned device is expected to launch in late October or in early November, and like all flagship models, rumoured specs of Nexus 5 are extensively leak out in advance of time. However it seems like this drop down of price is not tied into a new Nexus device but as a replacement for the upcoming iPhone 5C which most likely will hit shelves on September 20th alongside with flagship iPhone 5S.  
So far rumoured iPhone 5C is expected to feature a 4 inch Retina Display, iOS 7 as its OS. Device will be powered by dual core processor and will hit shelves in several colours  As far design is concern device probably will have a thin design with an 8 MP camera. Body material of device will be plastic instead of Aluminium because in order to keep device price low Apple uses plastic. One important feature of iPhone 5C is its 4G LTE connectivity which Nexus 4 is missing.  

Even though Nexus 4 was launched a year ago but still this device is one of the top line Android smartphone having pure Android 4.3 as its OS with some high end features and most importantly a cheap price tag.  It’s not sure that whether this drop down price will last long or simply will go back after launch of iPhone 5C.   
Let me know in comments section what do you think reason of this drop down of price? 
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