The promo deal, according to Apple Insider, is not widely publicized, which suggest that the tech giant is silently pushing out its stocks of the 2012 flagship that was discontinued last year when the iPhone 5S made its market entry.
The iPhone maker, said the same report, is collaborating with online auction giant eBay for the iPhone 5 disposal. This is the second time that Apple worked with eBay and the push is dubbed as Factory Outlet eBay Store.
It should be noted that all devices offered in the campaign, which includes old iPads, are refurbished items and not brand new.
Apple, however, is trying to sweeten the deal by dangling huge price cuts plus a 1-year Apple-certified warranty. This is the giveaway that the company is actively involved in the promo deal, added Apple Insider on its report.
The best deal listed by eBay is for the 64GB iPhone 5 that is up for grabs at $500. The site claims that buyers will realise savings of up to $350 on the model that is unlocked and GSM network compatible.
A 16GB variant is also available in black or white, its sticker price pulled down to $450 or minus $200 from the original tag. Part of the deal too is the 32GB edition that sells for $480.
It is unclear how long the promo will run though it can be assumed that the Apple-eBay offer is live until supplies are available.
Likely, Apple is gunning to clear out everything right before the next iPhone refresh. Long-time Apple watchers are familiar to the cycle of incredible price cut backs that affect key iOS devices for the purpose of making room for the arrival of the freshly-minted replacements.
In this particular case, it is the iPhone 6 that is rumoured to unpacked in two screen sizes - a 4.7-inch model that will take the place of the 4-inch iPhone 5S and a 5.5-inch edition that analysts said is designed to duke it out with Android phablets like the Samsung Galaxy Note 4.
On release date, the iPhone 6 is believed to start selling at $300 (for the bigger variant) with contract or $700 for the unlocked version, which should make the iPhone 5 deal a definite lure for price-sensitive Apple fans.