O2 has announced its UK pricing for the upcoming version of the iPhone, the 3G S.
The iPhone 3G S will go on sale on 19 June, costing much more than the iPhone 3G did when that model was launched a year ago.
On an 18-month contract, the 16GB version of the 3G S will cost between £184.98 (with a service plan at £29.38 per month) and free (at £73.41 per month), while the 32GB model will cost between £274.23 (at £29.38 per month) and £96.89 (at £73.41 per month).
Those opting for a longer, 24-month contract can get the 16GB handset for £87.11 if they pay £34.26 per month, or for free on higher tariffs. On this length of contract, the 32GB model will cost between £175.19 (at £34.26 per month) and free (at £73.41 per month).
In the US, AT&T's pricing for the new iPhones matches the launch pricing for older versions, allowing for upgrades in specification. For example, the new top-of-the-range 32GB model costs the same as the old top-end 16GB handset did, and the new 16GB version costs the same as the old 8GB version did.
In the UK, however, O2 has gone for higher launch prices. While the old 16GB handset was introduced at £159 on the lowest monthly tariff, the new 32GB model costs £274.23 (a 72 percent increase). The new 16GB handset costs £184.98 on that tariff, compared with the old 8GB model's £99 (an 87 percent increase).
One explanation for the higher new prices could be the strengthening of the dollar — Apple is US-based — against the pound since last year's launch, but that would only account for an increase of around 25 percent. A spokeswoman for O2 told ZDNet UK on Tuesday that iPhones are now "less subsidised [by O2] than they were before". O2 did not respond to a request for further comment.
Business pricing for the iPhone 3G S has not yet been announced. Pay-as-you-go customers will, however, be able to get the 16GB version for £440.40 and the 32GB version for £538.30.
The iPhone 3G S was announced on Monday at Apple's Worldwide Developer Conference (WWDC) in San Francisco. The device looks entirely similar to its predecessor, the 3G, but has a faster processor, a built-in compass and a higher-megapixel camera that can shoot video in addition to stills.
O2's pay-monthly tariffs for the iPhone include the operator's International Traveller Service, which gives discounts on some charges while roaming across different countries. Unlimited UK data and Wi-Fi is also included.
Customers can also get a bolt-on tariff for tethering their iPhone to a PC or Mac as a mobile broadband modem. This costs £14.68 per month for a 3GB allowance, or £29.36 per month for a 10GB allowance.
Talkback
You forget to mention that to the contrary of what happened last year for the 3G launch, the owners who want to upgrade their 3G to the new 3GS shall have to add the repayment of their remaining contract (in my case 7 months at £35, so £210) on top of the already high price of the new model.
So, say that I want to get the 32GB new 3GS next week, it's going to cost me an impressive £519!!! I'd be better off buying a pay-as-you-go one at that price! They are just going to drive their fans away, that's all what they do...
If my experiences with O2 are anything to go by, people who 'must have' an iPhone will be the only people on their network in a year's time.
Nationwide were so, so smart with their "brand new customers onleeeee!" advertising campaign. This kind of thing is so prevalent and it goes against every rule of building your brand - look after your existing customers and they will do your marketing for you.
... the upgrade from the original iPhone to the iPhone 3G was far more significant, because it was only the second gen handset that brought in 3G (the technology, not the name). O2 would have been keen to move iPhone users from EDGE to 3G, because it would stimulate usage.
I have noted the outrage from people expecting to upgrade for free while still a way away from the end of their contract term, but I can't honestly say I have much sympathy for it. Can you think of any normal circumstance in which an operator lets a customer upgrade their handset mid-contract? It's never happened in most cases and, as the operator subsidises much of the initial cost of the handset, I can't see why it should.
Finally worked out what the 'S' stands for
iphone 3G S -
- Scandal (as in o2 pricing)