Google+ Consumer Psyche: iPhone 3g?


Thursday, August 21, 2008

iPhone 3g?

The pricing announced by the two mobile providers is: Rs. 31,000 for the model with 8 gigabytes of memory and Rs. 36,100 for the 16 GB model. This price is a bundle of their Internet-plus-cellular service with the handset.

This might seem stiff compared to the current price of the 3G iPhone in the U.S. — $199 (about Rs. 8500). But that is the price charged by telecom provider AT&T, who adds different tariff slabs for the services. Since they tend to be much higher in the West compared to India, they heavily subsidise the phone and make their money by tying the customer to annual subscriptions. Read full story.

I got a call today from Airtel that I can be one of the first to have iPhone in India by paying 5K today and the remaining 31K on Friday. A total of 36K? Will I buy it. Sorry. Because its too costly and I am not even sure what all functions will work in India and have no assurance from either Airtel or Vodafone about the same. I think both these companies have taken a bold step by going for too much margin. The number of people who look for iPhone are going to be a disappointed lot as this is a huge price and was not expected. When any product is priced too high when the margin is known to the customer it might backfire. I think it would with iPhone in India. Lets see what people think.

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