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British media unconvinced by iphone value for money

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Minimum cost of iPhone ownership on O2 contract is �900

The Times and The Telegraph have slated Apple and Steve Jobs for his optimistic outlook on UK residents disposable income. It seems the apple head honcho thinks that £900 is small change to the typical UK consumer as well as stating he believes that the costs of business are much higher in the UK, thus trying to diguise the astronomical profit he stands to reap from the iPhone in the UK.

The final bill for those on an o2 contract will come to approximately a third more than that of AT&T in the US. Getting ripped off is something the UK has had to get used to, for example the additional 24p those downloading individual songs from iTunes in the UK have to pay, compared to those in Jobs's homeland.

The Times article states that the total value of music sold at retail last year added up to £1.75 Billion, six per cent of which was digital sales. It went on to assume that the market dominant Apple represented 4 per cent of that 6 per cent, meaning it took £43.9 million from UK iTunes users. If the company had been charging at its US rate of 55p per song, it would only have grossed £30.6 million.

Tags: Iphone
1
 

“Mr”
Posted by: Paul - Sep 21, 4:28pm

Re iPhone costs.
The minimum contract for iPhone on O2 is �35 per month, �420.00 per year the maximum �55 per month, �660.00 per year. Even adding the cost of the iPhone to the �35 per month does not get to �900 per year! Who does the maths?


2
 

“Re: Mr”
Posted by: JD - Sep 21, 5:22pm

�55 x 12 = �660 + �269 (iphone cost) = �929
UK being ripped o***ain!


3
 

“Re: Mr”
Posted by: RAMM - Sep 21, 11:33pm

I don't understand all the fuss about total costs etc. Every movbile connection has a monthly cost - whether the connections is with O2 or Vodafone. That monthly recurring cost is similar and there isn't much difference. The subscriber has only to spend the cost of the handset - which is free for some vendors. So the cost for him is only the cost of the handset (269 iphone cost). Remember he is enjoying the services of the mobile company which he has to pay anyway. Who provides services free? So try to understand instead of trying to make an elephant out of a mole.


4
 

“Pocket Surfer 2”
Posted by: Mr Mobile - Sep 22, 11:24am

Services come for free with the pocket surfer 2.

�180 inc vat includes 20 hour*****onth of surfing for a whole year.

It is possible to have your cake and eat it.

Apple could easily do something similar but they don't.

Virgin btw do mobility for only �10 per month.

It is inevitable that prices will come down.


5
 

“Re: Pocket Surfer 2”
Posted: Nov 20, 11:56am

The MINIMUM contract is 18 months. Care to revise your working out? �35*18 = �630 + cost of phone �269 = �899

Which is how much you will pay over 18 months.

Compare that to a contract for an N95 for example12month contract at �35 with free phone = �4




. That is more than twice the cost!



Tyhe


6
 

“Re: Pocket Surfer 2”
Posted: Nov 20, 11:58am

I meant �420 as the total for the N95. So when you make a 'like for like' comparison you see it is double the price compare to a current high end phone such as a N95.


7
 

“Re: Pocket Surfer 2”
Posted by: ads - Jan 17, 2:16pm

But the N95 is a brick, looks **** and the battery doesn't last for more than a day.
Wait a few months and get one cheap.


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