High prices and short supply PDF Print E-mail
Written by Philip Roy   
Tuesday, 24 June 2008 20:57

Here in New Zealand we've heard little (well, nothing) from Apple or Vodafone as to the price the iPhone will sell for or how they see their supply matching expected demand. The situation is different overseas as teleco's start to indicate pricings and possible availability of the iPhone. At the same time, they are also suggesting initial supplies will disappear fast.

MacRumors.com is reporting that a Japanese mobile carrier has announced prices for the iPhone of around $215 USD with a monthly plan of around $67 USD. What is notable from the announcement is that the data pricing is in fact 70% higher than average plans in Japan. The notion of more expensive plans compensating a lower priced iPhone is also something noted in America, where the price of the iPhone 3G appears to have been offset by new AT&T plans that appear to lack many required components (such as texting) and that users may ultimately end up paying more (to have these included) than the hey on previous plans.

Of concern also is the comment regarding the number of iPhones that might be available...

Softbank warns that they expect the first supply to "evaporate instantly" and "we in the company will probably fight to get one as well."

MacRumors also notes that Vodafone and TIM (Italy) announced unsubsidised pricings of 499 and 569 euro for the 8GB and 16GB iPhones respectively. At this date, unsubsidised iPhone's available on Prepay will not be an option here in New Zealand.

Speaking of Prepay, Apple Insider reports of a Piper Affray analyst who states that 1 in 10 international purchasers are likely to buy on Prepay, but at a premium price of $600 USD. New Zealander's will still miss out on being part of a large market apparently buying an iPhone 3G that is removed of contracts...

Piper Affray analyst Gene Munster estimates that 53 percent of Apple's total addressable market for the new 3G mobile phone will be pre-paid customers who'd forgo lengthy service agreements, and thus wouldn't be privy to hefty subsidies offered to those buyers who'd sign multi-year contracts with carriers.

Comments (16)add comment

Cuby said: June 26, 2008 | url    Votes: +1

Cuby
I want Prepay...
I think it's really dreadful how as of now Vodafone is not allowing the iPhone to be on Prepay smilies/angry.gif . They are just going to loose a huge amount of customers. I think most of us who want the iPhone on Prepay would be happy to fork out a bit more money to buy it if it was going to cost extra on Prepay. Plans are great for Business men who make lots of use of their phones, but there's a huge number of us out there that don't want to make so many minutes a month or whatever.

Also, is Vodafone aware of that petition?


Cuby
 

davis said: June 26, 2008   Votes: +1

davis

If any of you guys are like me, i think Vodafone’s communication over the I Phone is terrible!! Their lack of communication over anything with relation to pricing, who will be supplying this, on plan or off of a big company is shocking.
I have taken to emailing the marketing manager of Vodafone to find out what the story is. But she is away on holiday until the 30th, so if i get a reply i will post it.
I have a feeling that something will happen around the 29th of June, the official first birthday of the iphone??

Lets hope they release something soon, I cant wait until the 11th plan or not.
 

itchyaudi said: June 26, 2008   Votes: +1

itchyaudi
prices and supply
I've been chatting with a mate who works/has a lot to do with Vodafone, his initial response to me was $500 for the 8GB on a 2 yr plan, (no word on the data component cap or pricing imagine it would be reasonably pricey), and then again today he said that it lookslike it is going to be more than that!
He did say what others have said, that they're limiting the first 10,000 to those that have pre-registered on the vodafone site (note you cant register anymore, theres just a pic and "coming july 11th"
You then will have a wait he said of approx 6 weeks, til they then bring in stack loads and try and flood the market, after the 1st 10k have been showing them off to everyone!

i'm just looking forward to my July 11th iPhone 2.0 update for iPod touch, test out the rest of the stuff (apps, extra email functions, calc etc.) and see what vodafone throw me before i buy!
 

RmACK said: June 26, 2008   Votes: +0

RmACK
:O
Still, has anyone noticed Vodafone's pricing habits regarding prepay even? To get "$10 text" which is only within vodafone anyway just like telecom's similar monopoly plan, you have to buy a $40 base plan for minutes you may not want or use! To be honest, I spend just shy of $20 a month -$6 to bestmate, and the rest is 20c texts. An $80 a month plan like the Japanese one would be a complete deal breaker for me. Up to $40 I think would be ok if that included either a few hundred texts or a best mate & I'd *hope* at that price there'd be some data too.
 

davis said: June 26, 2008   Votes: +1

davis

smilies/smiley.gif smilies/smiley.gifWell done on Chris on finding out this stuff. I expected Vodafone would raise the price of the phone by a couple of hundred- Another reason to live in NZ.
I am more interested to see how much they are going to sting us on the contract, and if its for 2 years - is there a get out of jail clause? As I hear other countries are not tying people to a fix term.

I pre registered but again, depending on all the plan prices and the phone price, will it be worth it! hmmm the jury is out on that one! smilies/grin.gif
 

Philip Roy said: June 26, 2008   Votes: +1

Philip Roy

No offence to Chris, but I would still be weary of stories re costs...as if I had a $1 for every "I've got a mate that's heard.." email or comment that has been mentioned to me...well, I'd be able to afford a data plan.

Phil

PS...I will be making Vodafone aware of the petition...I just wanted the numbers up a bit first
 

itchyaudi said: June 27, 2008   Votes: +0

itchyaudi

hahaha, phil im reporting direct from a vodafone business manager(he just doesn't want to be named), but believe me i take everything with a grain of salt! hes changed what he's said twice allready ... from $500 to more ... i wouldnt be surprised if only 1 or 2 people actually know! regardless i'm looking forward to see if they handle this well or not.
If i was vodafone i would have announced pricing and signed people up a few days after the release! keep their palettes wet, all this waiting, and no info smilies/sad.gif
 

Philip Roy said: June 27, 2008   Votes: +1

Philip Roy

I suspect the reason they have changed the page re the iPhone to just a splash page and not a mailing list sign-up is they are probably going to have few actually available on the 11th.

Phil
 

jaeming said: June 27, 2008   Votes: +1

jaeming
short-end
I registered on the vodafone site as well but I have a sick feeling in my stomach that we are just going to get the short end of the stick as per usual in NZ.
$500 or more? That would be near to doubling the price of what's being offered in the U.S. And I can't see vodafone revising their whole plan line-up to offer us anything like a reasonable contract plan with reasonable data caps. The mobile phone plan pricing here is so utterly rediculous, which is why so many people are on prepay and conduct most of their communication by texting. When I lived in the states I paid $40 USD a month for a contract that gave me 600 minutes, plus free nights and weekends. I looked at the contract plans when I first arrived in NZ and laughed at how prehistoric they were. They reminded me of the plans that the U.S. had back in the early 90's when cell phones first started coming into wide use.
Anyways, I'll stop ranting. I'm excited for the iphone too. Just hope I can afford it.
 

alsta said: June 27, 2008   Votes: +1

alsta

Paul Brislen, Vodafone's External Communications guy has been putting some interesting posts up on Geekzone today.

In summary,

News is coming very soon. Price will be good. Supply will be very limited.

He has also dropped hints last week that the post-paid plans will be much, much more attractive than what exists at present.

http://www.geekzone.co.nz/forums.asp?ForumId=76&TopicId=23333&page_no=1#140823

 

Philip Roy said: June 27, 2008   Votes: +0

Philip Roy

Of course news is coming soon...they go on sale in 2 weeks from today. That's all he's really said. The only comment in that thread caught my eye was the one that said we might know by the 12th...ie, one day after it goes on sale.

I'm starting to think they are trying to ramp the hype up. Lots of people have an iPhone v1 and lots of people I'm hearing from (and me) have decided against getting one based on the fact that a plan seems the only option. There weren't even midnight queues for the last version of the Mac OS was there? And that always used to be a big event.
 

alsta said: June 27, 2008   Votes: +1

alsta

There was some banter going on in this thread as well,

http://www.drury.net.nz/2008/06/16/1-a-day/

he really, really wants to let the cat out of the bag...

I just have a feeling that we are in for a surprise from Vodafone, this is a big deal for them, and with Telecom's new truly competitive network not coming online till the end of the year this is their chance to lock in a heap of new contracts with a fantastic product, and paradigm shift in mobile data use in NZ.

If you look at the bigger picture, Vodafone have been quietly putting the pieces together to offer a whole suite of extremely competitive products together recently. Mobile data is a big part of this and the iPhone provides them with a device that makes it desirable for non-business less tech-savvy Joe Bloggs.

...and Mr and Mrs Bloggs will expect reasonable prices to use this new fangled toy.


 

jaeming said: June 28, 2008   Votes: +0

jaeming

That's great news. I hope vodafone does come through for us. One thing that's exciting about the iphone is how apple has turned the mobile phone industry on it's head, ezpecially with regards to it's price. Who wants to pay the price for a car(I buy cheap cars) for something you could accidently drop in the toilet? I'm looking foward to the news.
 

davis said: June 30, 2008   Votes: +0

davis

After reading all the post on the
http://www.geekzone.co.nz/foru...1#140823

It sounds like Vodafone is gonna keep it under its hat until the last possible moment!
what we have 12 days until release date. Maybe they will release a week before? Lets hope its sooner than later. If anyone is like me I have to save for this bleeding thing, so I would like to know how much to budget for, I either eat this week or not!
 

itchyaudi said: July 05, 2008   Votes: +0

itchyaudi

more info. guy from vodafone said they've only just told the staff whats going on, minimum signup will be for the Choose 120 ($60 per month) and then a $10 or so data plan on top (no word on data plan Cap etc.) over 2 years. He said the general feeling from the staff were that they werent so happy about it ... (i'm currently on that plan) also no word on price discount ... NOT LONG NOW KIDS!!
 

jaeming said: July 05, 2008   Votes: +0

jaeming
too high
Well $60 + $10 is a high monthly price no matter, especially when you compare it with notion that most people in NZ normally only spend between $20-$40 a month. Personally I was hoping, perhaps unrealistically, for something in the $40-50 range with a useable data plan. I might have to stay on pre-paid then. Perhaps will just have to save up and buy an unlocked one from parallel importers when they get them in.
I know we are all just speculating here and the release info will soon be at hand so maybe it's all for naught. I just think Vodafone would be wise to release the plan schemes on Monday, lest the anticipation sour any more than it already has. Will greed win out? Will Vodafone use the high demand for the iphone to coerce people to sign high-priced contracts? These are questions being asked more and more lately. Find out soon I guess.
 

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Last Updated on Tuesday, 24 June 2008 21:00