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The
iPhone 3G has caused plenty of speculation—and quite
a bit of bellyaching—here in the U.S. due to the drastic
changes to its business model. While the new version
will cost much less up front—just $199 with a two-year
contract—it will now cost an extra $10 per month, on
average, for the accompanying data plan.
Plus,
you no longer get 200 free text messages per month,
and you have to activate your handset in the store just
like any other cell phone. So in one sense, Apple gave
in to the reality of our wireless market, dashing early
hopes for a restructuring of the cell phone business.
Consumers will have to buy the iPhone 3G the way they'd
buy any other smartphone.
But
Apple's latest phone isn't really about the U.S. It's
about the rest of the world. Apple will sell the iPhone
in 22 countries beginning this Friday, July 11th. By
the end of the year, Apple is shooting for 70 countries
in total.
So
what will consumers in other countries have to pay for
the iPhone? Of course, moving to another locale just
to save money on a cell phone is patently ridiculous.
After all, you'd probably blow through any potential
savings with the cost of the plane ticket alone. Or
would you?
Let's
find out. Here's a rundown for U.S. readers trying to
see how AT&T's iPhone pricing compares with that of
other countries.
- First
up, let's review. AT&T's combo plans cost $70 per
month for 450 "anytime" minutes, $90 per month for
900 minutes, $110 per month for 1350 minutes, and
$130 per month for unlimited voice calls. All four
plans come with unlimited email and Web data, but
no text messages. For those, you'll pay $5 per month
for 200 messages, $15 per month for 1500 messages,
or $20 per month for unlimited texting.
- That's
a wide range of prices, so let's select one plan and
use it as an example. On AT&T, an iPhone 3G with 900
minutes per month will cost $2,160 over a period of
two years. Add $199 for the 8GB device, or $299 for
the 16GB version.
- How
does that compare to our neighbors in the United Kingdom?
Over there, O2 charges 45 pounds per month for 1200
minutes and 500 text messages, including unlimited
data, according to iSmashPhone. That's $2,261.83 in
U.S. dollars for a 16GB iPhone 3G over two years—although
O2 actually lets you back out after 18 months. Not
a bad deal, all things considered, but probably not
worth moving for.
- In
Canada, things actually get worse with Rogers—and
fast. First of all, Canadian customers are stuck in
three-year contracts. And Rogers charges $100 per
month for just 600 minutes, compared with $90 per
month for 900 minutes here in the U.S. And Rogers
caps data at just 1GB per month. In total, the Rogers
plan costs $3,600 over three years, or $3,556 US (the
Canadian and U.S. dollars are roughly equivalent at
the time of this writing.) That means you're paying
$2,400 for two years, plus the cost of the phone.
That's still more expensive than the U.S., and you
get less minutes and data to boot. UPDATE: Rogers
caved, at least temporarily, and is now offering a
$30, 6GB iPhone data plan on top of any regular voice
plan until August 31st.
- Unfortunately,
that's not even the worst of it. In Sweden, you'll
need to pay a whopping $4,356 with TeliaSonera to
get 1000 minutes per month for two years with a 16GB
iPhone, according to the same article.
- Hong
Kong and Macau residents luck out in comparison; Hutchison
charges just $1,554 U.S. for a 16GB iPhone 3G over
a two year period. That's a cost spread of $2,800
between the least expensive carrier (Hutchison) and
the most expensive one (TeliaSonera).
- Psst—hey,
buddy! Want a shiny new iPhone 3G for just $94? That's
what you would pay in Germany, given today's exchange
rates, for the 8GB version, Ars Technica reports.
$126 buys you the same device in the Netherlands on
T-Mobile.
- If
you're looking to save money up front, don't move
to Belgium. There, you'll pay the equivalent of $822
for a measly 8GB iPhone 3G. Vodafone wants $414 for
the same model in New Zealand. The rest of the initial
list of countries fall in the $150 to $300 range,
or approximately what we'll pay in the U.S.
- As
of yet, no one is offering the iPhone 3G for free
with a contract. Sadly, variations on the locked,
contract-bound theme are few and far between as well.
According to AppleInsider, Piper Jaffray analyst Gene
Munster found that given the high cost of a non-subsidized,
unlocked, version, only about one in 10 buyers are
likely to be pre-paid international subscribers. Plus,
they'll likely pay $600 or more for their handsets.
In fact, we may see one here soon; AT&T has hinted
at a prepaid option sometime "in the future," but
it will cost—you guessed it—a staggering $599.
So
what conclusions can we draw about the majority or preponderance
of plans and terms? What are the most common elements?
Most
of the initial batch of countries require a 2-year contract
with the iPhone 3G. Canadian customers are stuck in
three-year contracts. But a few countries require less.
O2 in the UK and Ireland lets you back out after 18
months. The winner is Denmark; there, Telia lets you
off the hook after just six months. Otherwise, nearly
all of the initial 21 countries offer similar setups:
an entry fee for the iPhone 3G, a two-year contract,
and a staggered (or tiered) plan structure that varies
the number of minutes, messages, and (in some cases)
data per month.
In
summary, we're getting a fairly good deal here in the
U.S. All things considered, the iPhone 3G will be an
expensive proposition everywhere, not just in our country.
There's no need to buy that plane ticket—or make any
moving plans, for that matter.
Source:
PC Magazine
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