Mobile operator O2 is preparing to unveil Apple's much anticipated iPhone in the UK tomorrow. But serious questions are being raised in the City about how much ground it has had to give away to Apple in order to clinch the deal.
The UK's largest mobile operator came from behind at the last minute to seal an agreement with Steve Jobs, Apple's chief executive, to market the iPhone in the UK, but one other operator described the deal as "madly money-losing".
O2 is understood to have agreed a margin on the retail price - to be confirmed tomorrow - but will return to Apple as much as 40% of any revenues it makes from customers' use of the device.
The price of the combined phone and iPod can be changed by Apple at any time, as happened recently in the US. Out of O2's share also comes a commission and further revenue share with Carphone Warehouse, which is understood to have secured the right to be the sole independent retailer of the device on behalf of O2.
View: Guardian
The UK's largest mobile operator came from behind at the last minute to seal an agreement with Steve Jobs, Apple's chief executive, to market the iPhone in the UK, but one other operator described the deal as "madly money-losing".
O2 is understood to have agreed a margin on the retail price - to be confirmed tomorrow - but will return to Apple as much as 40% of any revenues it makes from customers' use of the device.
The price of the combined phone and iPod can be changed by Apple at any time, as happened recently in the US. Out of O2's share also comes a commission and further revenue share with Carphone Warehouse, which is understood to have secured the right to be the sole independent retailer of the device on behalf of O2.
View: Guardian
What about them?
What?
What?
read it in the next post
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Madness?????? ............THIS IS SPAAAAAAAAAAARTAAAAAAAAAAAAAAA!!
secondly, the GPRS rates on O2 are very hefty for Youtube to work.
if you are planning to use this with the WiFi hotspots, there are not many in UK!
thirdly, 40% is too much profit to share!! Apple is anyway getting the phone cost price why should they get profit share?
Fourth.., the best phone on O2 till date is orbit (cost wise, i think) which is free with a minimum of pound 40 plan for 18 months and you don't see people using many of the high end phones for one main reason, initial cost! . If they are introducing this one in the market, the initial pay would be atleast 200 pounds even on the 40 plan.
O2 does not Lock mobile phones so, AT&T will have BIG trouble with the stolen and imported iPhones into US!
Phones you get from carphone warehouse, however, are usually unlocked so they can sell them on any network, although if the phones are provided just for O2 they probably will be.
what phone are you using? when did u buy?
as far as i know.., no O2 phone i have seen till date is locked.
I currently have a Sony Ericsson W580i from carphone warehouse which is unlocked since they sell it on all networks.
Both the samsungs had O2 branded firmware which is maybe why they were locked?
I currently have a Sony Ericsson W580i from carphone warehouse which is unlocked since they sell it on all networks.
Both the samsungs had O2 branded firmware which is maybe why they were locked?
interesting.., I had a Sony Ericsson, motorola razr, now Orbit all are unlocked. also, the p1i which my friend has is not locked. may be it has stopped locking phones recently.
also, O2 has mobiles which other networks also are offering. so may be thats the reason.
It appears that the iPhone won't use GPRS, but rather the same Edge technology used in the US? Wouldn't it be easier / cheaper to change the hardware to a GPRS receiver (or whatever it is) instead?
It appears that the iPhone won't use GPRS, but rather the same Edge technology used in the US? Wouldn't it be easier / cheaper to change the hardware to a GPRS receiver (or whatever it is) instead?
Better yet, wouldn't it just make more sense to upgrade the phone to 3G standards?
I mean if you're going to charge that much for the damn thing, you can surely afford it.
It appears that the iPhone won't use GPRS, but rather the same Edge technology used in the US? Wouldn't it be easier / cheaper to change the hardware to a GPRS receiver (or whatever it is) instead?
Better yet, wouldn't it just make more sense to upgrade the phone to 3G standards?
I mean if you're going to charge that much for the damn thing, you can surely afford it.
There's no way in hell their shareholders would allow them to spend millions installing an already obsolete 2.5G/EDGE communications infrastructure, when they've already invested millions in 3G. I just won't make ANY kind of economic sense just for one phone; especially one that it appears they're going to be making little to no profit with.
It appears that the iPhone won't use GPRS, but rather the same Edge technology used in the US? Wouldn't it be easier / cheaper to change the hardware to a GPRS receiver (or whatever it is) instead?
Better yet, wouldn't it just make more sense to upgrade the phone to 3G standards?
I mean if you're going to charge that much for the damn thing, you can surely afford it.
There's no way in hell their shareholders would allow them to spend millions installing an already obsolete 2.5G/EDGE communications infrastructure, when they've already invested millions in 3G. I just won't make ANY kind of economic sense just for one phone; especially one that it appears they're going to be making little to no profit with.
Acording to http://www.theregister.co.uk/2007/09/14/o2_edge/
"EDGE connections are popping up on O2's network as the company prepares to deploy the 2.5G technology.
The sudden outbreak of edginess comes despite the firm paying over £4bn for a 3G license and dismissing EDGE as a redundant technology, and can only be related to the imminent launch of Apple's iPhone."
"EDGE connections are popping up on O2's network as the company prepares to deploy the 2.5G technology.
The sudden outbreak of edginess comes despite the firm paying over £4bn for a 3G license and dismissing EDGE as a redundant technology, and can only be related to the imminent launch of Apple's iPhone."
Hmm.. do I believe and article on The Register... Or O2's own website, which has bugger all on it about EDGE?
I think perhaps I'll wait until there's an official announcement; but even if that article is true, they'd be limiting it to London...
This is Apple however. Maybe they managed to source smaller 3G chips and incorporate them into the iPhone, hence the tear down doesn't show normal 3G chips that we know of. They probably even got the manufacturer to label them as 2.5G just in case anyone decided to take some apart. You never know.
http://www.my-xda.com/looksXdaOrbit.html
may be not but there are phone unlocking stores who are pretty geeky at every corner of UK streets
Can't wait until tomorrow
If you're thinking of buying an iPhone, how can you bloody well complain about the price of ANYTHING? =P
On a serious note, don't be surprised if O2 has the same logic...
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