The iPhone 4 handset will cost £219 and there will be 18 and 24 month contracts. The 18 month contract will cost £30 per month with 75 minutes of calls, 250 text messages, and 1Gb of data. Although this works out at £10 more than the equivalent O2 contract with less calls and texts it does offer double the data. If you do go over the O2 500Mb limit just once then the Vodafone contract becomes cheaper.
With this in mind I was beginning to wonder if the Apple Stores will actually have any stock. I phoned round a few stores and managed to get the same reply fro all the stores I tried: “We will have stock, but it will be very limited. We will have to keep most of our stock for the people who have reserved their iPhones”.
The other wireless carriers have been a little quiet so we don’t really know what is happening there, indeed Vodafone, T-Mobile and Three have not declared pricing yet. No doubt things will become a little more clear next week.
But that was way back in time, and things have changed since then. Video Calling which was the big selling point of upgrading to 3G died a death and was replaced by WAP and Mobile Internet. So why has Apple re-introduced video calling in the guise of Face Time?
Well some of the social media and new generation communications platforms have done very well with text, voice, and video messaging. So maybe it is time for mobile video calling to make a comeback. As far as bandwidth is concerned there shouldn’t be a problem (unless you are in San Francisco and your name is Steve Jobs at WWDC) and of course I think that is will be great for families and friends who are apart.
Each time Apple releases a new iPhone I ask myself is buying it on contract the wise thing to do? If you are in the USA you have no choice it is AT&T signing your life away for 2 years: End Of!
It used to be like that in the UK too, but with the iPhone 3GS PAYG was introduced and that changed the game. Still on O2 and the iPhone was locked to the O2 network. But then O2 lost its monopoly and other carriers got in on the act. The result is that with the launch of the iPhone 4 we will have 4 carriers available and the iPhone will be available both on contract and SIM free.
So with all these options available what is the best way to own an iPhone 4? Read on to find out…
So who is counting all the zeros here?
I know this is not going to be all that accurate but lets just assume that all the buyers are going for the 16Gb iPhone 4, on an AT&T plan. The initial income from the iPhone 4 handset sales is $120M for one day!
Now on the basis that all these users will have 24 month contracts at $70 a month we are looking at over $1B worth of airtime contracts: a staggering $1.13B in one day, and that is a conservative estimate!!!
So if you want a new 16Gb iPhone 4 with no existing contract it will cost you £169 from Orange on a 24 month contract. From AT&T it will cost $199+tax = $211.94 (approx £143) so it is £26 or so cheaper in the USA. But here is the real cost… the airtime. For Orange the cheapest airtime contract is £30 a month ($44) from AT&T it is $70+tax = $74.55 (£50.32) a difference of $30 (£20.32) a month.
So adding all this up together it looks like it would cost $2,001 (£1,355) to own an iPhone 4 in the US for 2 years, and just £889 ($1,312) in the UK a saving of £466 or $689.
On the assumption that in 12 months time you will be wanting to upgrade to the latest iPhone 5 )or whatever) you have more options in the UK. Again with Orange you can get the same iPhone 4 on an 18 month contract costing £229 and £35 a month for a total of £859 or $1286 making an even bigger saving of £496 or $715.
Starting at £169 and £30 a month for a 24 month contract and rising to £229 and £35 a month for a 18 month contract based on a 16Gb iPhone 4. This compares to $199 plus tax for a 24 month AT&T contract at $70 a month in the USA.
One of our US readers attempting to upgrade sent us the following error he received:
There was a problem with your request.
P1015: We’re sorry, but we are experiencing a system error that prevents us from completing your request. For non iPhone related upgrades, please call Customer Care at 1-888-867-4384 and provide the error number at the beginning of this message.
All is not lost though you can still get your new iPhone 4 by buying online and according to the Apple Store it will be delivered on the 24th. Unfortunately there are no white ones available.
This will disappoint a large number of Apple faithful who have always purchased the White MacBook, White iPod and White iPhones. It is a difficult choice for them having to select between getting the new iPhone in black on launch day or waiting an indefinite period of time to get the beloved white phone.
Of course things may well change between now and the 24th and the white iPhone 4 may make an appearance in the store on the day. If not it doesn’t matter my black iPhone will be waiting for me.


