You are definitely right about the Moto X screen. It looks like a bargain basement AMOLED screen, similar in quality of older Samsung Galaxy screens. From a qualitative perspective, even the Galaxy S4 screen trounces this.
Other than the iPod market, I've never known Apple to go for blood. I'd be surprised if the iPhone 5C (or whatever they call the lower-cost iPhone) is priced lower than $399, with the 5S starting @ $599.
Mark Gurman, who writes for 9to5Mac, just tweeted, that maybe another possibility Mansfield is no longer SVP, is that the Technologies Division could have gotten folded back into the Hardware Division.
Don't know about that but he definitely has experience in leading software engineering teams. He was CTO of Adobe and potential-in-waiting for the CEO role. Maybe software / hardware integration is one area where he utilize his talents.