O2 wins battle for iPhone contracts in UK

Originally posted by preiffer
Roll on iDishwasher and iWashingMachine.

Sources claim that they're going to be capable of 'washing' things, and even letting you know when they're finished do so. [:w] Revolutionary. [ii]

Yes, but you will have to sign up to an 18 month contract with Finish and Persil, plus the touch screen will break within an hour of having it [:D]

[preiffer]

Full transcript from this morning's session is available here, by the way [;)]

Some VERY badly 'avoided' questions by Apple, too [:w]


Correct me if I'm wrong, but isn't this also the iPhone that you have to send back to Apple after 300 charge cycles to have its battery replaced? Given that it's to be used as a music player AND a phone, that's not very long... [:?]

Hmmmmmm, the unlimited data sounds interesting but it's 2G and unnamed wifi hotspots in the UK. I might just get one here in Seattle and unlock it. Then again, I might just wait for the itouch.... everything he iphone has bar the phone bit :-)

[preiffer]

The hotspots aren't 'unnamed'. They announced this morning that it was being provided by Cloud - their location checker is here [y]

Originally posted by fozzyo
Still not really convinced by it. I'm still at the I want a phone thats a phone that lets me talk and text, a music player thats a music play with enough storage for my CD collection, and an laptop for using the E-Mail and Interweb.

Mat

Mat I'm like that too, and I'm going to save my pennines for now and leave the iPhone for a generation or two. That press conference today has left me very unconvinced.

preiffer, if the 300 charge cycles is true then assuming that an iPhone's full features are used it will only last about 12-18 months...and I've known of Nokia's to still work after THREE years. Maybe that's why o2 are only letting out 18 month contracts!

[Darren Wheeler]

Apparently, O2 got it because all the other networks pulled out when they found out how much Apple want in revenue sharing. Vodafone are already developing their own version.

Lets face it, I'd rather have a MP3 player and a phone separately. After all, what use is an iPhone with a flat battery because you have used it all listening to music.

Originally posted by Darren Wheeler
Lets face it, I'd rather have a MP3 player and a phone separately. After all, what use is an iPhone with a flat battery because you have used it all listening to music.

Agreed, I would rather have a nice slimline phone like my V3 and then get the Ipod touch for use as MP3/MP4 player. Do like the look of the user interface. Wish my web developers would come up with UI solutions like that[:w]

[preiffer]

Rumour is that O2 have to give Apple 40% of ALL REVENUES earned directly from the iPhone for the period of the contract.

That being handset subsidy (if any), wireless revenues, airtime, the LOT. Ouch [:0]


It also seems that NONE of the networks (including O2) knew about the impending doom to the iPhone, as a result of the iPod Touch launching, during the negotiations (I know this from a pretty significant person within Vodafone [;)]). Had they known, it would definitely have affected the 'attractiveness' of the proposition from Apple at the time.

As a result, I'm sure O2 are feeling pretty shafted right now.

[RichardMannion]

So it will be a third cheaper by 26th December then?

iPhone launch was yesterday in the UK, amazing to see how people go to great lengths to be one of the first to get their hands on things.

So who's actually going to get one on here? I won't be as I've recently signed up to an 18 month contract on the Nokia 6120 Classic on '3' (yes I defied what I said earlier on in the thread).

For those who want an iPhone but don't want to be tied to o2, these guys will unlock it for you in minutes which will get you around the problem of being tied onto o2 (apart from Visual Voicemail).

[mitchja]

Has the O2 network crashed yet [:?] [:w]

Dont think I'm getting an iPhone here (certainly not on O2 on a £35/month 18 month contract anyway). Very happy with my new(ish) SIM free HTC S710 smartphone here and I'll probably be getting an iPod Touch whilst I'm in Hong Kong anyway so I dont see the need for an iPhone as well.

Although, I did read that when the iPhone goes on sale in France at the end on November, they have a system where they have to sell handsets unlocked/SIM free so I might look at that option [:w]

Edge has only been rolled out across about 40% of the O2 network so far in the UK so most people will have to put up with downloads & internet access at GPRS speeds unless they use WiFi.

Oh joy, I see yet another version of iTunes has just been released as well [;)]

Regards

Will pick on up in Orlando next month as it works out about £80 cheaper than here, then I'll unlock it and use it on my Orange tarriff which is much cheaper than O2. Loving my iPod Touch at the minute though.

Originally posted by VS075

So who's actually going to get one on here?

Me.Well,I did.It's already in the clutches of Dragonbaby[:0]

I've had one for about 5 weeks, easy to unlock, and it is a joy to use. We've unlocked the 1.1.1 phones without even connecting it to a computer. I use a Turbo Sim for future proof upgrades.

Mark

I picked one up on Friday, and it's an amazing bit of kit. My only concern was the lack of 3G, but EDGE seems fine for web browsing.

Ben

[preiffer]

Apple are heavily rumoured to be releasing a 3G version very soon (Jan?). It's apparently already in development & QA. [y]

HOPEFULLY, this will be when they refresh them with more memory (the US ones have been out for long enough to need a 'refresh' anyway [:w]

[RichardMannion]

But of course, let people buy them at Christmas and then release a new model at MacWorld in Jan! Maybe even a price cut!

So is it ok to buy one in the States, and get it unlocked and use it here on any network?

[Nottingham Nick]

Originally posted by avalon
So is it ok to buy one in the States, and get it unlocked and use it here on any network?

Apple will actively seek to cripple any unlocked iPhones. See here.

Very clever people will then seek to beat the Apple crippling See here.

The bottom line is, that Apple don't want you to unlock their phone, and will try and stop you. If you aren't very tech savvy, then it is a risky business, but possible.

Nick

[mitchja]

Spoken to 2 people on my way to Hong Kong who bought the iPhone on Friday in the UK and neither work [:0]

Regards

I took the plunge last night and bought my iPhone from the Apple Store, Regent Street.

I had a play with one a week ago and had previously had a go with the iPod touch.

Loaded it up with music and movies last night, am awaiting the transfer of my number from Orange but am able to use all functions and have a temporary number on O2 at the moment. Activation via iTunes easy and quick.

To say I'm impressed is an understatement. It's an amazing device to use, the ergonomics are easily the best of any phone I've used. It makes you wonder what the phone companies, Microsoft and Symbian have been doing for the last few years, because it's not been to make a phone or phone OS which does so much for such little user effort.

The lack of 3G and MMS? Well I ran up Google Maps and Safari over EDGE last night and it was snappy. I don't use 3G on my present Nokia often, and I don't use MMS either. Apparently O2 customers send an average of 6 MMS's per customer per year anyway. I won't miss either.

Really pleased.

David.

[mitchja]

I've nothing against the iPhone handset, it's the £270 price tag on top of the £35/month for 18 months that's stopping me buying one (which I'm sure it putting a lot others off as well)

I spend approx. £3.00 per month on calls/texts/data on my current V Mobile direct debit monthly plan. No contracts and no line rental to pay (you just pay the PAYG price for the handsets, although I'm not using a V Mobile handset as I now have a SIM free HTC S710).

The airtime and texts offered for £35 is way too much for what I need.

Are Apple not aware of how popular PAYG is in the UK [:?]

Regards

[RichardMannion]

Originally posted by mitchja
Are Apple not aware of how popular PAYG is in the UK [:?]

They are, but what's in it for them? Aside from the margin on the device itself? They get a healthy cut of all subscriber spend from the contract and want the big spenders. I don't think the average PAYG customer would spend £270 on a handset anyway.

I'm not seen any breakdown in cost, but I'm guessing Apple aren't making huge margins on the device alone, but factored in with the 18-month min contract and say at least 10% cut, then there is a healthy cut to be made. Would make some sense with the US, at the original pricepoint of $600 they were probably making a good margin on the device, but by doing their maths and dropping the margin down and topping it up with subscriber spend they ahve a far more compelling sale.

[Darren Wheeler]

Your Prepay customers will spend quite a bit on the handset, especially the kids. The data I have seen shows prepaid ARPU is higher than both contract and corporate customers. Simply because they can spend and spend without a nasty shock at the end of the month.

[RichardMannion]

Originally posted by Darren Wheeler
Your Prepay customers will spend quite a bit on the handset, especially the kids. The data I have seen shows prepaid ARPU is higher than both contract and corporate customers. Simply because they can spend and spend without a nasty shock at the end of the month.

Interesting - logic seems to worry me in regards to the last bit though!