The long awaited launch day for the iPhone 4 has arrived, and it is way bigger than previous iPhone launches. We were up at 5am to get up to get to the Apple UK flagship store in Regent St, London. Arriving at 7am we joined the end of a long, long queue of about 3000 [...]
Just before 8:00 a huge cheer went up round the corner at the front of the store…
Apple has allegedly sold 600,000 iPhone 4 in it’s first day of pre-order. So many in fact that pre-order has been stopped at AT&T and Apple are quoting July 14th for current orders. So al in all a fantastic product launch, probably more units ordered than Apple or AT&T ever envisioned. So who is counting [...]
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!!!
In a surprising turn of events we have calculated that the total cost of ownership of an iPhone 4 is far cheaper in the UK than it is in the USA. Although Orange are the only UK Carrier to have currently published their pricing it is reasonable to assume that O2, Vodafone and 3 will [...]
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.







