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iPhone to be launched on Aug 22 in India

By SiliconIndia,Thursday, 07 August 2008, 22:04 Hrs
New Delhi: Finally the D-Day is nearing. Apple fans in India have got a reason to cheer. Reason: Airtel and Vodafone will launch the iPhone 3G in India on August 22.

This is the first time Apple, creator of the Jesus phone called iPhone, has partnered with two different operators in the same country to launch its latest gizmo iPhone 3G. While the Apple and the service providers are mum about the prices of this gadget in India, the industry sources predict that the pricing will be between 25,000 and 30, 000. However in the U.S, this iconic phone costs $199 for 8GB and $299 for 16 GB versions.
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The buzz surrounding launch of the gorgeous gizmo is that will U.S. model of selling iPhone work in India? In the U.S. the iPhone comes attached with a fixed two-year contract with the service provider AT&T and the minimum monthly bill for an iPhone with the AT&T contract is $60. Apple launched a 'Mass Market' approach in the U.S., by slashing the iPhone price to $199 and $299, which is originally between $350-500 for both the models, by making the customers to pay the balance within the expiry of contract. It is noteworthy that when Reliance Infocomm launched its mobile services in 2003, it had initiated similar contractual services. The company later discontinued the practice.

Though installment schemes are popular in India (for household products, automobiles), and even if Apple offers iPhone 3G in similar model, the service charges (if it is $60 as in the U.S, i.e., 2400 pm) may be a roadblock for customers to stay back from iPhone 3G.Hence many believe that iPhone will become 'Rich guys' phone in India and will be just an alternative for Blackberry and other higher end phones.

Other than this, there are lot many issues that could challenge iPhone 3G launch in India. Initially, the service providers are planning to offer iPhone services through their existing 2G infrastructures, which will mar the real 3G experience. Also, the fear of 3G services becoming expensive is a concern, as TRAI has increased the base price for 3G-spectrum auction recently. Plus, low ARPU ($6), minuscule Internet usage through phone are other reasons, which could be the potential hindrances for the success of iPhone 3G in India. However, Airtel is much optimistic about iPhone 3G launch. "It will enrich the communication experience in India." a Bharti statement said.

Must read: Why iPhone 3G will be a dud in India?
http://www.siliconindia.com/magazine/articledesc.php?articleid=AWCA855783837

   
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