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Is the Aussie iPhone really $199? PDF Print E-mail
Friday, 13 June 2008
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Is the Aussie iPhone really $199?
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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?




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7. Written by This e-mail address is being protected from spam bots, you need JavaScript enabled to view it on 02-07-2008 21:02 - Guest - IP: 124.184.14.220
 
 
Comment 11 1853
The pricing structure of the plans / downloads seems pretty outrageous. Yes, the phone looks amazing, but making the phone inaccessible to the majority of (happy & loyal) apple customers is ridiculous. Plus the hard drive and camera specs... unimpressed. I agree that businesses will use the iphone to replace blackberries, but by doing this it seems as though they're appealing mostly to the type of people embodied by 'PC' in the ads.
 
8. Written by fox on 18-06-2008 13:15 - Guest - IP: 203.9.200.4
 
 
Comment 11 1853
I agree with TB re the pricing at Vodafone - it's more likely that a new data bundle will be brought out to "add on" to existing plans that allow users to have allocated monthly data downloads. There are already a variety of data bundles available for addon, and there's a page about the new $12 for 100mb addon on the voda site. 100mb really isn't that much when you think about it, but i think its a teaser as to what may come
 
9. Written by Derek on 16-06-2008 11:08 - Guest - IP: 121.44.92.36
 
 
Comment 11 1853
Ed Klein -- That's great :) 
 
Though I think you may have misunderstood me :) I want the total functionality of the iPhone, especially the internet, visual voicemail, etc. But I want to only pay for what I use and not be locked into a contract. 
 
When any company complicates a payment structure it means that they're trying to disguise something. If they feel that they have to force customers into staying, it means that they are not confident in their own service -- "I'll force'em to stay with me otherwise I'll hurt them if they leave!" Sounds like bully behaviour doesn't it? 
 
If a customer leaves, it's a strong message to say that we must improve. I mean, you can see what it's like now between the phone companies and customers... rather than working together it has become an "us and them" type situation. 
 
I don't blame Apple for the lock-in to AT&T in the states either. I'm sure AT&T forced the lock-in in return for allowing the visual voicemail feature. 
 
It's this sort of behaviour that slows progress on many fronts.
 
10. Written by This e-mail address is being protected from spam bots, you need JavaScript enabled to view it on 15-06-2008 00:29 - Guest - IP: 121.44.181.117
 
 
Comment 11 1853
Derek Vann - no, couldn't agree less! I want a plan/contract. I want a $79-$99 cap with $300 of calls and unlimited data.  
 
The internet WILL be extremely important especially because many business are considering the iPhone as a replacement for Blackberry. The multimedia functions in this phone ARE unparalleled and businesses, including mine, need this yesterday!!!
 
11. Written by Sean on 14-06-2008 21:13 - Guest - IP: 124.185.27.240
 
 
Comment 11 1853
All i want is to be able to buy a damn iphone and plug in my current 3g sim card... :sigh
 
12. Written by This e-mail address is being protected from spam bots, you need JavaScript enabled to view it on 14-06-2008 19:50 - Guest - IP: 124.186.17.124
 
 
Comment 11 1853
I spoke to a salesgirl at Vodafone and she told me that they would be selling the iPhones (and she said this as a subtle hint) 24 month contract - $49 Cap plus Data on top of that. She didn't mention anything about purchasing outright but its more than what the optus idiots know (when i asked them they replied, 'whats an iphone?!'...
 
13. Written by razza on 14-06-2008 15:05 - Guest - IP: 203.87.127.123
 
 
Comment 11 1853
If there was a way to unlock the iphone... the best phone internet package i've seen so far would have to be 3. I use a n73 now and plan on getting an iphone... but unless optus and vodaphone offer something close to 3's plan (xseries bronze, 100mb for only $12) which is perfect for me, they will be losing people to other phones.  
 
Also, nokia have nokia maps... so you can download maps of australia that are around 100mb per state, and it can use your gps to get a location and show it on the map... this saves the google maps feature as the maps are already downloaded to the phone. Unless iphone, optus or vodafone can offer these things i will probably get the LG Viewty instead.
 
14. Written by This e-mail address is being protected from spam bots, you need JavaScript enabled to view it on 14-06-2008 12:44 - Guest - IP: 58.106.236.24
 
 
Comment 11 1853
I think that Vodafone and optus will update their internet useage prices..... 
For example..... 
500mb - $19.95 per month 
1Gb - $24.95 per month 
2gb - $29.95 per month 
 
Making the customer want to upgrade internet useage as it only costs the user $5 extra a month to double their useage amount. 
 
I think it would be a HUGE mistake for them not to offer the phone outright, as alto of ppl will pay big money for the phone.
 
15. Written by Derek Venn on 14-06-2008 10:36 - Guest - IP: 121.44.92.36
 
 
Comment 11 1853
To all the Phone companies selling iPhone. Take a leaf out of Apple's book and listen to what the user wants, then go get it and give it to'em. It's the formula that every successful business on the planet has used. 
 
Here's what I want... 
 
- I want to buy the iPhone outright and use a prepaid sim. 
 
- I want to prepay for data usage 
 
- I want to use what I have paid for without any expire date. 
 
If the company supplying these features provides a quality service that's easy to use at a fair price, I'll stick with you guys to the end. 
 
Anyone else agree?
 
16. Written by TB on 14-06-2008 06:59 - Guest - IP: 124.170.90.53
 
 
Comment 11 1853
I work for Vodafone and if you're telling people to get on to a MyBusiness Cap or prepaid with an iPhone then you're setting them up for a very high bill and some major disappointment. Internet browsing is not included in a MyBus cap so any browsing you do is charged on top of your monthly plan. Also, internet is not available on Prepaid without an "extra's pack" so people would need their call credit and then pay for an extra's pack on top. 
 
I believe the iPhone will have it's own data bundle plan, similar to how Vodafone offer Blackberry support. So you will have your call cap, $49-149 a month, and then a data bundle on top for extra. For example, with a Blackberry you can have a $49 cap, $310 worth of calls, then for $30 on top you get unlimited internet and email through the Blackberry server. 
 
And I know alot of people on sites like this want the iPhone for it's internet capabilities as much as anything else it offers, but I would think the main market it will be sold to will be buying it for what it being an iPod and phone rather than internet device. I'd say 95% of people that have inquired about it at my store are aged between 18-21 and wouldn't care less about internet, they just want something flashy.
 
17. Written by Filo01 on 13-06-2008 22:43 - Guest - IP: 122.107.191.254
 
 
Comment 11 1853
what about the gps? will we have to pay for that feature? i was hoping to use the iphone on a prepaid plan, at 80$ a month with just 400$ credit it's just not worth getting it on plan. I call overseas alot & i love using the boost option 100$ = 1000$ credit. 
 
but honestly i want the iphone, i've been dieing to buy one for the last 3 months!! i hope to god they give us the option to buy it prepaid, I'm going to be forced to sign into a ball draining 80$ 24 month contract WRONG :(.
 
18. Written by Tommy on 13-06-2008 21:51 - Guest - IP: 220.237.239.71
 
 
Comment 11 1853
I imagine Apple would have a big say in what companies such as vodafone and optus can and can't offer... as per their agreement to sell the phone. 
 
I mean think about the App Store and the iTunes Music store, Apple will want it to be as easy as possible for the consumer to purchase as much software/music over the mobile network as possible. 
 
Also, limiting the data usage limits the usage of the iphone all together, making the phone less attractive for the consumer, making less people buy it.  
 
I'm just going to wait for the official word on plans direct from vodafone and optus.
 
19. Written by surely on 13-06-2008 21:39 - Guest - IP: 58.164.40.11
 
 
Comment 11 1853
Is not not unreasonable to expect unlimited data as offered on all iphone plans in the UK and US
 
20. Written by This e-mail address is being protected from spam bots, you need JavaScript enabled to view it on 13-06-2008 19:57 - Guest - IP: 202.161.10.15
 
 
Comment 11 1853
Far out, sorry, that should be *fair few less people will want it.
 


 
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