The hype since the announcement of the $199 iPhone has been very exciting. But is the iPhone really only going to cost you $199?
Let's break down the costs, as well as compare the release plans for other carriers around the world for this new 3G iPhone. Although there have been rumours of the iPhone being sold as pre-paid, carriers are going to be very competitive in their costs to keep customers. iPhones will not be sold online at the Apple Store, and will need to be activated in store [Vodafone/Optus]. All iPhones sold in the US have been under 2 year contracts with AT&T. In Canada, Rogers has plans for the iPhone under a three year contract. That is, $3400CDN after 3 years, or about $94/month. If Apple releases a new model within two years, and you are stuck in a contract, it will be very hard to get out of it.
Breakdown of the 3G 8GB iPhone Cost for Australians:
8GB Black iPhone: $199USD = $212AUD
10% GST: $21.20
Data/Voice Costs
Vodafone
$79 MyBusiness Cap - $550 credit a month to use on calls to landlines and mobiles, TXT, voicemail. 24 month contract
$49 MyBusiness Cap - $310 credit a month to use on calls to landlines and mobiles, TXT, voicemail.
24 month contract
$79 Prepay Super Cap - $500 credit every month for local and international calls; TXT, PXT®; voicemail, and access to our 123 premium directory service. 24 month contract
Mobile Internet (3G/GPRS) - $1 per 5 min block for browsing of mobile sites (excluding Vodafone live!)
Optus
$79 Cap - $550 credit a month to use on calls to landlines and mobiles, TXT, voicemail. 24 month contract
$49 Cap - $300 credit a month to use on calls to landlines and mobiles, TXT, voicemail.
24 month contract
Your choice of:
* $4.95 Starter Pack - 10MB + $4.95 additional calls and text value;
* $9.95 Classic Pack - 30MB + $9.95 additional calls and text value; or
* $14.95 Super Pack - 200MB + $14.95 additional calls and text value.
Excess usage reduced to: 35c/MB.
So - $212 + $21.20 + ($49 x 24 months)+ ($14.95 x 24 months) = $1771AUD for a low-end user on the $49 cap over two years. And we've got the costs of accessories and excess usage costs. Even if you decide to go pre-paid (which is not confirmed), you must consider the costs of Mobile Internet. Your iPhone will be 3G! Don't you want to have the ability to check your email/surf the Internet wherever you go? Unfortunately, these usage costs don't come cheap. The exciting 3G features and in-built GPS can't be neglected!
Your thoughts?
Comments (21)
13-06-2008 19:51
Comment 11 1853
$1 for 5 minutes of internet, that is absolute and utter schit. I mean, that is just scum. What's Optus' pricing, I can't see it there. But anyway, Vodafone's price for the net is appallingly bad, you buy an iPhone for the net, that's about it, that's what everyone wants it for, at that price, I suspect a fare few less people will want it.
