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Old Apr 3, 2013, 05:29 PM   #1
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French Carrier Executive Claims Frugal Customers Hurting iPhone Sales




Stephane Richard, CEO of France Telecom, said in an interview with Bloomberg that customer behavior is changing and price-conscious consumers are driving demand for lower priced smartphones, threatening sales of comparatively expensive phones like the iPhone and Samsung's Galaxy S line.
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The shift has been especially severe in Europe, where more customers are keeping the same phone when they switch carriers. Amid a slumping economy and mounting competition, France Telecom has seen prices drop 25 percent over the past three years, squeezing profit margins and its stock price. Its cheapest plan now provides unlimited calls and texting and 3 gigabytes of data for about 20 euros ($26) a month -- about half the price of T- Mobile USA Inc.'s $50 plan, which is touted as a U.S. bargain.
Richard believes there will be fewer early adopters purchasing the latest and greatest devices going forward, though it's unclear if the slowdown would be restricted to Europe or if it could pressure iPhone sales in the U.S. as well. Regardless, many recent rumors suggest Apple is working on a cheaper iPhone to address some of these concerns.

Article Link: French Carrier Executive Claims Frugal Customers Hurting iPhone Sales
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Old Apr 3, 2013, 05:31 PM   #2
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Not surprising really
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Old Apr 3, 2013, 05:31 PM   #3
HishamAkhtar
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European plans tend to be a lot better than US plans anyway. You guys are bent over and screwed repeatedly everyday.
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Old Apr 3, 2013, 05:32 PM   #4
thadoggfather
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Hah they'll be in for more of a world of hurt when people stick with the 5 when the 5S comes out.

And GS3 when GS4 is out/is it out over there?
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Old Apr 3, 2013, 05:32 PM   #5
Serelus
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No, you guys just want to keep selling these phones with ridiculously expensive subscriptions, and then when nobody is buying your phone because it's all to expensive you suddenly claim it's "hurting sales" try making things cheaper, you greedy douche.
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Old Apr 3, 2013, 05:35 PM   #6
gugy
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More than a cheap iPhone, I would like to see cheaper plans for voice and data. I rather pay my next phone to be unlock and maybe get a "pay as you go" plan. Still these seem very expensive with AT&T in the US.
No wonder they don't want people to leave their 2 year expensive commitment.
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Old Apr 3, 2013, 05:37 PM   #7
Dwalls90
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Wait, unlimited calls, texts and 3GB of data for $30?! That's like $100 in the states.
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Old Apr 3, 2013, 05:37 PM   #8
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People would rather spend less money. Next in news, it's raining in Seattle.
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Old Apr 3, 2013, 05:38 PM   #9
iMikeT
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People are cheap, what else is new?
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Old Apr 3, 2013, 05:39 PM   #10
Consultant
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Some people want cheap. Some people want value.

Perhaps the carrier is tailoring to the cheap.
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Old Apr 3, 2013, 05:40 PM   #11
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Originally Posted by Dwalls90 View Post
Wait, unlimited calls, texts and 3GB of data for $30?! That's like $100 in the states.
Unless you are in a Family Plan (not the MobileShare ones), it can come down to $50 a pop. Not as bad.
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Old Apr 3, 2013, 05:40 PM   #12
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'More iPhones would be sold if they cost less money' shock claim!

Next on ObviousNewsNightly: Amazing analysis suggests fewer Android devices would be sold if they cost more money.
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Old Apr 3, 2013, 05:40 PM   #13
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Originally Posted by HishamAkhtar View Post
European plans tend to be a lot better than US plans anyway. You guys are bent over and screwed repeatedly everyday.
We also retain significantly more of our income after taxes. It's a tradeoff.
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Old Apr 3, 2013, 05:42 PM   #14
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Frugal people should be punished for their miserly insolence.
Who do they think they are?
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Old Apr 3, 2013, 05:42 PM   #15
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Can't wait till Apple releases the 16GB iPhone 5S for £600 unlocked so i can laugh hysterically at them.
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Old Apr 3, 2013, 05:42 PM   #16
addicted44
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Quote:
Originally Posted by johnnyjibbs View Post
Not surprising really
Yup. Especially in Europe.

1) They are close to a double dip recession
2) The French customers must not be very confident with their economic prospects considering a month does not pass by without a European country that needs to be bailed out
3) The cheaper phones are crossing the threshold of good enough.
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Old Apr 3, 2013, 05:43 PM   #17
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Originally Posted by Dwalls90 View Post
Wait, unlimited calls, texts and 3GB of data for $30?! That's like $100 in the states.
I feel for you guys in the states, your plans are ridiculously expensive. You can pick up a sim only plan with 2000 minutes, unlimited texts and unlimited data (truly unlimited) with tethering included for around $37/month.
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Old Apr 3, 2013, 05:50 PM   #18
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I doubt a bunch of cheap frenchies is going to make any real difference to Apple or Samsuck.
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Old Apr 3, 2013, 05:51 PM   #19
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Waaa.
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Old Apr 3, 2013, 05:56 PM   #20
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Originally Posted by Bubba Satori View Post
Frugal people should be punished for their miserly insolence.
Who do they think they are?
Dangerously solvent, they avoid the American borrow & spend obsession
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Old Apr 3, 2013, 05:56 PM   #21
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Originally Posted by wesk702 View Post
People would rather spend less money. Next in news, it's raining in Seattle.
Actually its quite nice today. 60 degrees and the sun is shining.
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Old Apr 3, 2013, 05:57 PM   #22
4jasontv
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Found the problem:

French:
http://www.afutt.org/Media/documents...tions-2012.pdf

English:
http://www.rudebaguette.com/2013/04/...ing-in-france/
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Old Apr 3, 2013, 06:00 PM   #23
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Originally Posted by Cyclonemac View Post
I doubt a bunch of cheap frenchies is going to make any real difference to Apple or Samsuck.
Ah...witty and trenchant...a pleasure to read...
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Old Apr 3, 2013, 06:02 PM   #24
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I doubt a bunch of cheap frenchies is going to make any real difference to Apple or Samsuck.
Vous vous méprenez cher ami.
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Old Apr 3, 2013, 06:02 PM   #25
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Isn't this just another way of saying "iPhones are overpriced"?
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